Calum Findlay, Gleadell’s Fertiliser Manager, comments on the fertiliser markets

Urea

The continual upward climb of the global urea market has certainly been mirrored in the UK again this week.

Ongoing strong demand from the US continues to push both granular and prilled urea higher. The US has an estimated shortfall of about 800,000t to cover due to an early static market which prevented product being bought.

In France, urea has traded up again to the equivalent to £340+/t delivered on farm.  The outlook is firm, at least for the short to medium term.

Ammonium nitrate

Global ammonium nitrate manufacturers continue to increase weekly output for several reasons. The rising value of granular urea has raised the overall nitrogen trade and late orders for Feb/March AN shipments have created a sellers’ market. 

In the UK, both GrowHow and Yara have again posted higher prices with further rises due from next week. Imported ammonium nitrate prices will reflect this.

Phosphate and potash

All phosphate and potash levels have firmed further over the past week.  Phosphate in particular is gaining value by the day as manufacturers’ stocks tighten. UK stocks are also low and blenders have increased prices to replacement levels.

The global potash market still struggles to find direction but continues to rise in the UK due to high demand and depleting stocks.

UAN

Liquid nitrogen prices in the UK represent good value, trading approximately 5p below solid nitrogen at about 80p/kg.