Anhydrous Leads Retail Fertilizer Prices Lower in Second Week of July 2023

OMAHA (DTN) -- For the first time since the last week of June, average retail prices for all eight major fertilizers were lower compared to last month, according to data collected by DTN for the second week of July 2023.

While prices for all eight of the major fertilizers were lower, only one saw a significant drop, which DTN designates as anything 5% or more. Anhydrous was 6% lower compared to last month. The nitrogen fertilizer had an average price of $734 per ton.

The remaining seven fertilizers were just slightly less expensive compared to last month. DAP had an average price of $811 per ton, MAP $823/ton, potash $614/ton, urea $609/ton, 10-34-0 $730/ton, UAN28 $393/ton and UAN32 $465/ton.

On a price per pound of nitrogen basis, the average urea price was $0.66/lb.N, anhydrous $0.45/lb.N, UAN28 $0.70/lb.N and UAN32 $0.73/lb.N.

European Union (EU) statistics agency Eurostat said the consumption of fertilizers in agriculture across the European Union decreased for the year in 2021, while 2022 usage was likely affected by price increases spurred by the war in Ukraine, Dow Jones reported.

Data from the agency showed that consumption of mineral fertilizer such as nitrogen and phosphorus was 10.9 million metric tons (mmt) two years ago, which represents a year-on-year decrease of 2.2% compared with 2020. The use of nitrogen-based fertilizers was estimated at 9.8 mmt, down 2% on the year, while the use of phosphorus fertilizers registered a decline of 3.8% to 1.1 mmt in the year.

Eurostat said that while the 2022 numbers are not available yet, the Russian invasion of Ukraine and international sanctions led to sharp increases in fertilizer prices. That has likely affected the use of fertilizers in the EU, also given that nitrogen-based fertilizers have been strictly dependent on Russian gas.

All fertilizers are now lower by double digits compared to one year ago: 10-34-0 by 19%, DAP 21%, MAP 22%, urea 30%, potash 31%, UAN32 34%, UAN28 35% and anhydrous by 49% compared to a year prior.

DTN gathers fertilizer price bids from agriculture retailers each week to compile the DTN Fertilizer Index. DTN first began reporting data in November 2008.

In addition to national averages, MyDTN subscribers can access the full DTN Fertilizer Index, which includes state averages, here: https://www.mydtn.com/….

Striking workers at the Port of Vancouver have forced a Canadian fertilizer company to limit production at one potash mine. You can read about it here: https://www.dtnpf.com/….

Russ Quinn can be reached at [email protected]

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