Picture for Fertiliser Imports Not Clear

With all three majors now operating at the August price level, the only prices to have changed significantly this week have been those for imported nitrogen.

The picture for imports is not completely clear. There are indications that cargoes, and therefore farm deliveries, are in short supply but coincidentally tonnages are reported going into merchant store in anticipation of higher spring prices.

The price of new imported material is going up rapidly, now 10/t dearer than three weeks ago at 88CIF/t (Carriage, Insurance and Freight) which translates to 104/t on farm.

Prilled Urea is 111CIF/t or 135/t on farm.

With the States and South America in the market, why should exporters worry about small vessels into UK ports where the anti-dumping issue is yet to be decided?

Offers from exporters are in short supply, the factories are on holiday and (some) importers are not prepared to take the risk of booking large cargoes.

Reports have emerged however of reasonably significant tonnages of imported material going into store in anticipation of a higher spring price on farm.

PK business is reported as slow whereas the market for N for immediate use continues. Interest is maintained in forward ordering domestic products at early delivery rebate terms.

News of ownership changes at Kemira UK is still on hold, with the company now saying nothing is expected until September.

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