Findlay Gleadell’s Fertiliser Manager, comments on fertiliser markets

Urea

The world market for urea has firmed slightly with a physical trade in Egypt moving values up $7.50/t FOB. This is being coupled with a weaker pound, currently £:$ 1.544, which has fallen 1.5% in the past three days. Within the UK, an on-farm increase of only £5-£10/t means the opportunity to buy is still there and values are very completive historically and compared with grain values.

Ammonium nitrate

Values of UK SP5 products have risen slightly after a large uptake of June tonnage. This has created a void for lower quality products to be passed off as “blue bag” equivalent. A 5% price difference between the best and the cheapest is not enough to justify any spreading, handling or quality problems. Quality always sells.

P and K

The P and K market is currently stable. Indian buying of phosphate is limited due to the weakness of that country’s currency against the dollar, perhaps improving supply/demand figures. New potash supply deals into China are about to be renegotiated with the potential of some limited upside. In the UK, interest for seedbed TSP and DAP is coming forward.