Calum Findlay, Gleadell’s fertiliser manager, comments on the fertiliser markets

Urea

The global market remains relatively inactive and UK prices have eased slightly in the hope of attracting buyers.

Supply issues continue although we have seen tonnage being offered from Egyptian producers this week, the first tender from that region for some time.

Current prices are the lowest they have been all year and give an opportunity to improve gross margins with nitrogen working out at 51p/kg.

Ammonium nitrate

With harvest mainly complete a number of growers have taken the opportunity to buy tonnes now, as values have traded sideways over the harvest period.

There are currently ample stocks in store. Once these have been sold, values are likely to follow the European increases.

GrowHow has had good success targeting new business in September. With only 35 % of the UK nitrogen market covered to date, there is a lot of business to be done and pricing will get squeezed at some point.

PK

Global markets remain unchanged although blenders have lowered values as they continue to compete for tonnes. This presents a good opportunity to buy.

Replacing soil nutrients after harvest is essential, especially in a year where good yields have been reported and some growers are trying to maximise margins by selling or using straw elsewhere instead of returning this organic matter back into the seed-bed.