The fertilizer market is looking firmer as demand builds and availability becomes tighter, according to Gleadell grain merchants

Urea

The Urea market has firmed again over the past week, as traders everywhere scramble to cover short positions. Egyptian paper prices have traded almost $50 tonne higher, as producers, short of stocks, try and keep up with demand as applications continue. Prices are very likely to firm further as demand builds up and availability tightens further. 

Prilled Urea stocks are low in the UK at present. Demand is still slow at farm level, but suppliers hope warmer weather conditions this week could trigger some interest in the early days of March. More imports are due for arrival towards the end of March.

Ammonium Nitrate

Imported AN this week is stable to firm. Product is being offered on farm at £300 tonne delivered, which is comfortably lower than the March UK price that was announced a few weeks ago. Producers in the Baltic are sold out for March shipments and traders in the UK are awaiting March shipments, this market is heading for a squeeze 

Phosphates 

While the US domestic market remains weak and Latin American interest is slow, prices continue to drift downwards. Some small sales of DAP have been recorded in Spain and Italy and the UK is similar. However, the phosphates market remains fundamentally soft overall on a lack of significant demand in major markets.

Sulphur

The sulphur market has picked up significantly in the UK this week as the good weather spell has been perfect for the application of sulphur. Supply is still tight however on a global level. 

Fertiliser market update: Prices firm