Average retail fertilizer prices continued to be mostly higher the first week of August 2021, led by potash, according to sellers surveyed by DTN.
Six of the eight major fertilizers were higher compared to last month, with only potash up a significant amount, which DTN designates at 5% or more. Potash was up 13% compared to the prior month, and now has an average price of $557 per ton.
MAP prices increased 4% to $755/ton.
The remaining four fertilizers were just slightly higher. DAP had an average price of $695/ton, urea $556/ton, 10-34-0 $631/ton and anhydrous $738/ton.
Two fertilizers, UAN28 and UAN32, were slightly lower in price looking back a month. UAN28 had an average price of $367/ton and UAN32 $418/ton.
On a price per pound of nitrogen basis, the average urea price was at $0.60/lb.N, anhydrous $0.45/lb.N, UAN28 $0.65/lb.N and UAN32 $0.65/lb.N.
The retail fertilizer market and its iffy supply channel is making fertilizer retailers nervous as fall rapidly approaches. Bob Spratt, manager of LeRoy Fertilizer Services located in LeRoy, Illinois, told DTN a storm could be brewing with a possible limited supply of crop nutrients.
“I have not seen a fertilizer market like this ever — even in the 2008 market,” Spratt told DTN. “We are going to face supply issues like never before, I feel.”
The supply issues aren’t related to COVID-19 (although the worldwide pandemic probably hasn’t helped any) but they are related to other issues. These include the draining of the fertilizer supply chain in 2020, the chemical plant shutdowns from the freeze in Texas last February and the lack of available fertilizer imports, he said.
Spratt said there just is no advantage to importing fertilizer into the U.S. right now.
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“The question is: Will we be able to get fertilizer when we need it?” he said. “It’s crazy.”
Retail fertilizer prices compared to a year ago show all fertilizers have increased significantly.
10-34-0 is now 36% more expensive, potash is 56% higher, urea is 57% more expensive, UAN32 is 60% higher, anhydrous is 62% more expensive, UAN28 65% higher, DAP is 67% more expensive and MAP is 76% higher compared to last year.
DTN surveys more than 300 retailers, gathering roughly 1,700 fertilizer price bids, to compile the DTN Fertilizer Index each week. In addition to national averages, MyDTN subscribers can access the full DTN Fertilizer Index, which includes state averages, here.
In last week’s column, DTN Farm Business Editor Katie Dehlinger explained Mosaic Company’s outlook for the potash market. Read it here.
|Aug 3-7 2020||416||430||357||354|
|Aug 31-Sep 4 2020||431||442||348||361|
|Sep 28-Oct 2 2020||439||459||338||362|
|Oct 26-30 2020||448||477||332||358|
|Nov 23-27 2020||456||495||337||359|
|Dec 21-25 2020||474||535||365||363|
|Jan 18-22 2021||493||563||379||387|
|Feb 15-19 2021||600||648||404||457|
|Mar 15-19 2021||616||693||424||496|
|Apr 12-16 2021||624||702||432||509|
|May 10-14 2021||631||702||437||515|
|Jun 7-11 2021||656||717||450||527|
|Jul 5-9 2021||690||729||491||549|
|Aug 2-6 2021||695||755||557||556|
|Aug 3-7 2020||465||455||222||262|
|Aug 31-Sep 4 2020||459||436||216||254|
|Sep 28-Oct 2 2020||457||424||212||250|
|Oct 26-30 2020||456||423||209||249|
|Nov 23-27 2020||457||424||210||249|
|Dec 21-25 2020||463||461||210||250|
|Jan 18-22 2021||481||482||215||251|
|Feb 15-19 2021||522||530||245||288|
|Mar 15-19 2021||596||671||331||373|
|Apr 12-16 2021||609||700||345||387|
|May 10-14 2021||620||713||361||406|
|Jun 7-11 2021||620||718||363||414|
|Jul 5-9 2021||624||732||371||421|
|Aug 2-6 2021||631||738||367||418|
Russ Quinn can be reached at firstname.lastname@example.org
Follow him on Twitter @RussQuinnDTN