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

Urea

As combines start to roll, the UK nitrogen market remains flat and relatively inactive. However, the global market looks set to kick off again in the next week with India announcing its latest tender. 

This was due to open on 16 July, but has been delayed until 21 July. India could purchase some huge tonnages but, more importantly, the tender will act as the next platform to test Chinese manufacturers’ pricing. Depending on values, this tender could influence the next big change in the market and potentially the next opportunity for buyers in the UK.

Ammonium nitrate

Ammonium nitrate markets remain inactive across western Europe and the UK.  Prices in the combinable arable sector for both imported and domestic product are static for a number of reasons. Imported product sold for July/ August movement is till cheaper than replacement supplies and, with surplus tonnes in stock and few sales, importers are being forced to compete and move product to keep tonnes moving.

This, along with the relatively expensive unit value compared to urea, means importers found it difficult to follow the £3/t monthly increment put in place by UK manufacturers.  

Phosphates
Prices continue to firm and as India prepare to make some large purchases this will only help to push the market higher.