New season Nitrogen prices similar to last year
By Roger Chesher
NEW season prices for nitrogen have been set pretty much in line with the start of last season at 108-110/tonne on farm delivered.
Last season the price went up steadily at 2/tonne per month until the spring and the early buyer definitely prospered. It looks like this could also be the intention this season, as August prices have been announced at 2/tonne above the July price.
Importers should currently have little trouble in providing material around 10/tonne cheaper but there are few takers yet, until the early market develops.
The spring price will be determined, as ever, by supply and demand, with no indication of prices that far forward at this time.
Farm stocks are low and, today, supply is no problem, but with recent rationalisation in the industry it is in finer balance than in the past.
Demand could, however, be much higher than the 2000/2001 season because of significant increases in autumn plantings and recovery in the livestock sector.
Some pundits forecast an upturn of as much as 400,000 tonnes. With increased demand and finely balanced supply the spring price could be significantly greater than today.
Most agree this could well be another season where the early buyer benefits.
New prices include NS grades, priced as nitrogen, but compounds have not changed and PK prices have yet to be announced.
Granular urea is competitively priced at present and, subject to quality, could be a good buy at 118-120 in the south. This reflects global urea prices, which are currently low.
CURRENT PRICES
New-season nitrogen (SP5) 34.5% | August domestic nitrogen | Imported urea (if available) | Imported AN |
Blended 20.10.10 and 25.0.16 | Blended 25.5.5 | Liquid nitrogen, 37kg/100l or 29.6% N/t |
July 108-110 | 110-112 | Granular 118-120 | 98 when available |
116-117 | 113-115 | no market |
NPK | July, pay cash | NS products |
Complex 25.5.5 | 118-120 | 108-110 |
15.15.20 | 143 | |
20.10.10/29.5.5 | 121 | |
17.17.17 | 148 |
After-cut NK cash | 0.24.24 | TSP (47% P2O5) bagged | Muriate of Potash (60% K2O) bagged |
118 | no market | 125 | 122 |
IRELAND CAN 24.6.12 0.16.36 Complex compounds
Forecast spring prices
Urea
27.6.6
Northern Ireland
Market over
122
148
No market
148
CAN | 24.21/2.10 | Urea, imported | 27.21/2.5 | |
Republic of Ireland* | 145-155 | 185 | 190 | 187 |
*Note in the Republic of Ireland nutrients are expressed as elements not oxides. Analyses will not be directly comparable with those used in the UK.
*Prices in the Republic are IR
Note All illustrated prices are based on 20-tonne loads for immediate payment. Prices for smaller loads and those with credit terms will vary considerably.
Source: Bridgewater Partnership