Fertilizer prices are steady; consumption set to improve next year
Despite continued troubles along U.S. waterways, a new report from DTN shows retail fertilizer prices continue to remain steady.
This week, six of the eight major fertilizers are slightly lower in price, but none are more than 5 percent over the last month. DAP is sitting around $927 per ton while MAP is $972 per ton. Potash is at $841 per ton, Urea is $802 per ton, with 10-34-0 coming in just above $750 per ton, and anhydrous is coming in at around $1,419 per ton. UAN-28 and UAN-32 remain more expensive than this time last year.
Fertilizer consumption may improve in some regions next year as costs decline and commodity prices hit historic levels.
A new report from Rabobank shows over the last two years, geopolitics has played a big role in the fertilizer markets with tensions peaking after the start of Russia’s war in Ukraine.
However, analysts expect things to cool slightly next year. They say price movements over the last several months resemble trends we have seen before, like during the 2008 global financial crisis where fertilizer prices fell shortly after their peak.
Rabobank forecasts fertilizer prices to continue trending down over the next three months, but warns prices will still be above average.