Farming News - Fertiliser Market Update

Fertiliser Market Update

Calum Findlay, ADM Agriculture’s head of fertiliser, comments on the markets

Granular urea traded at $900/t FOB Egypt this week following news of the latest Indian tender. This has helped to provide further support to the broader urea market.

Difficulties in securing freight and product continue, while pricing for natural gas in Europe remaining at historically high levels.

China’s export restrictions are creating more uncertainty and it is very clear that little urea tonnage will move from the country’s ports at present. This is adding pressure to other key supply areas, mainly North Africa and the Arab Gulf.

In the UK, granular urea has continued to trade below replacement values, but as volumes dry up a rise will happen. However, it is likely that urea will remain the most competitive source of nitrogen going into 2022.

Liquid UAN prices remain available for spring delivery, giving the opportunity to secure supply and to fix costs for the 2021/22 season in a market that appears to be supported through this period.

Granular lime remains available from ADM, a product which can help the efficiency of nutrients by correcting soil pH levels.