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Writer's pictureAntonia Z

Changes in international fertilizer prices from October 27th - November 3rd.

Price Changes of Urea, Ammonium Sulfate, Ammonium Phosphate, Triple Superphosphate, Potash Fertilizers, and Compound Fertilizers from October 27th - November 3rd.


Urea


This week, there was relatively low trading activity, with most regions experiencing a decline in urea prices. The U.S. market maintained stable demand, but most other markets showed signs of oversupply.


In Brazil, prices saw a slight decrease to CFR 390 USD per ton, while prices in the United States increased slightly. Incofe purchased urea on the Central American West Coast at a price of CFR 415-425 USD per ton, and Tepeyac bought large granular urea on the Mexican West Coast at CFR 410 USD per ton.


However, Pakistan plans to purchase 200,000 tons of urea in the market, Ethiopia issued a tender for 563,000 tons, and India may conduct another tender in December.


Due to bearish sentiments in the market regarding nitrogen fertilizer and grain prices, buyers in Southern Europe and Brazil continue to delay their purchases. Additionally, with the escalation of the Israeli-Palestinian conflict, there are significant anticipated supply risks for urea. Traders remain cautious, and producers are reluctant to lower their prices.


Ammonium Sulphate


Northwest Europe: This week, FOB prices for standard ammonium sulphate remained stable at 212-233 USD per ton due to limited demand in November. Buyers and sellers are generally focusing on December tonnage. Furthermore, a decrease in the operating rates of some caprolactam plants has led to a reduction in ammonium sulphate production. Therefore, it is expected that spot supply will remain tight from November to December.


China: This week, FOB prices for standard ammonium sulphate were 150-160 USD per ton, lower than the previous week. FOB prices for MMA-grade ammonium sulphate remained stable at 145-150 USD per ton. The FOB prices for Extruded pellets of ammonium sulfate were 175-185 USD per ton, also lower than the previous week. The main reason is the weak demand from Brazilian importers in November, which forced granular ammonium sulphate prices to decrease.


Indonesia: Pupuk Indonesia awarded a contract on October 26 to a trading company to purchase 10,000 tons of standard caprolactam-grade ammonium sulphate at a price of 182 USD per ton, to be shipped to Gresik in November.


Thailand: The domestic price for granular ammonium sulphate dropped to 8,000 Thai Baht per ton (221 USD per ton) from the previous week, a decrease of 500 Thai Baht.


Central America: Incofe has issued a tender to purchase 3,000 tons of standard caprolactam-grade ammonium sulphate and 13,000 tons of granular caprolactam-grade ammonium sulphate for delivery to several ports in Latin America between December 5 and 15. The tender deadline is November 2.


Brazil: Due to lower quotations and reduced demand, the price of granular ammonium sulphate in Brazil has fallen to 200-205 USD per ton. The CFR price for standard ammonium sulphate decreased from 190-195 USD per ton last week to 180-185 USD per ton.


Ammonium Phosphate


India and Pakistan have increased their purchases of diammonium phosphate, while the onshore price of monoammonium phosphate in Brazil has risen.


India: There is still some demand for diammonium phosphate imports in India, with RCF and NFL making inquiries to purchase diammonium phosphate from Jordan and China this week, with prices remaining around 590 USD per ton.


Pakistan: Importers purchased diammonium phosphate for December delivery at a price of 610 USD per ton, pushing the upper end of this week's price to FOB 575-590 USD per ton in China.


USA: Due to weak quotations for the first half of November, the price of barge diammonium phosphate fell to 523-540 USD per ton, while the barge price for monoammonium phosphate remained steady at 600-635 USD per ton.


Monoammonium phosphate prices remained stable in the Suez Canal West, and CFR prices for monoammonium phosphate in Brazil rose to 560-565 USD per ton.


With demand gradually decreasing in major markets, onshore diammonium phosphate prices in the Suez Canal East are expected to fall.


Triple Superphosphate


Brazil: CFR prices for dicalcium phosphate remained stable at 440 USD per ton last week.


Morocco: OCP reported selling less than 5,000 tons of dicalcium phosphate to Asia (excluding India) in October and November. The net price was FOB 460-490 USD per ton.


Potash Fertilizers


Potash prices in Brazil, Europe, and Southeast Asia saw a slight decrease this week due to slow trade and weak demand. Brazilian buyers continued to postpone corn purchases, while significant declines in the prices of standard muriate of potash from Belarus and domestic prices in Southeast Asia pressured prices in the region.


Meanwhile, despite a sharp drop in fertilizer subsidies, major sellers in India reduced the maximum retail price (MRP) for standard muriate of potash from 34,000 rupees to 32,500 rupees per ton. This may stimulate further demand from farmers.


Due to ongoing drought issues and insufficient rainfall in the canal basin, the Panama Canal Authority (ACP) will reduce the number of vessels that can pass through the canal this winter. Starting from November 3, the booking slots will be reduced to 25 per day, then 24 per day from November 30, 22 per day from December, 20 per day from January, and 18 per day from February. These slots will continue until further notice.


Although reduced demand in Brazil will continue to have a softening effect on the market, most suppliers are satisfied with their positions, especially for granular muriate of potash, and therefore, sharp price declines or increases are unlikely.


Compound Fertilizers


This week, the compound fertilizer market in India was slightly subdued, while in Europe, the market remained relatively strong due to increased demand in the spring.


Attention: The above price information is for commercial reference only due to the diversity of information collected, and Kelewell is not responsible for the authenticity of the data.




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