Fertiliser price rises should stick


By Roger Chesher


RATIFICATION of the EU anti-dumping levy on Russian AN should be approved next week.


But the delay is having less of an effect on trade, say the majors, who now report movement of “reasonable” volumes of nitrogen and other top-dressing products into the arable sector.


Prices have not moved significantly this week, although there are “deals” to be had as the trade is prepared to go out and do what it can to get business.


However, from February onwards, the business will start to come to the trade, with an estimated 40% of the arable market and most of the grass market still to be sold.


In these circumstances, the trade will do what it can to maximise prices, and with farmers forced to shop around to effect delivery at a logistically difficult time, price rises should stick.


Imports are still down and the pressure will be on domestic suppliers to satisfy the market.


At least product is moving in Britain; nothing is selling in Ireland, as farmers move to a just-in-time purchase decision.


The few boatloads of urea that are in the country are not selling, and have yet to be priced. Until the market starts to move, all prices in both the north and south are academic.


In a surprising turnaround, the Finnish Parliament has rejected its governments recommendations to support the formation of a giant Scandinavian chemical conglomerate involving Kemira.


The deal is now off, and plans for the future of Kemira, including fertilisers, have been set back to their position of two years ago.


While its back to the drawing board for their masters, for Kemira in the UK it is business as usual.


CURRENT PRICES


















New-season nitrogen (SP5) 34.5%

January domestic nitrogen

Imported urea

Imported AN

Blended 20.10.10 and 25.0.16

Blended 25.5.5
Liquid nitrogen, 37kg/100l or 29.6% N/t


December 110-113


115


Prilled 124

100-104

113

107

120



















NPK

December

NS products

Complex 25.5.5

113

117

15.15.20

134


20.10.10/29.5.5

120


17.17.17

139-140













After-cut NK cash

0.24.24

TSP (47% P2O5) bagged

Muriate of Potash (60% K2O) bagged

No market

112-114; market virtually over

125

122

 

IRELAND

Forecast prices
















 
Urea

CAN


24.6.12


0.16.36


Complex compounds
27.6.6


Northern Ireland

No market

98

122-125

130

124















 

CAN


24.21/2.10


Urea, imported


27.21/2.5


Republic of Ireland*

130-140

No market

No market

150

*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

  • IR1=UK78.86p; US$1=UK69.20p on 13 December

     

    Note All illustrated prices are based on 24-tonne loads for immediate payment. Prices for smaller loads and those with credit terms will vary considerably.

    Source: Bridgewater Partnership

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