DTN Retail Fertilizer Trends

Prices for All Fertilizers Higher First Week of February 2019

Russ Quinn
By  Russ Quinn , DTN Staff Reporter
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UAN32 was 5% higher the first week of February 2019 compared to the previous month with an average price of $318 per ton. (DTN chart)

OMAHA (DTN) -- Average retail fertilizer prices continued on the well-worn path higher the first week of February 2019, according to retailers surveyed by DTN. This marks the fourth consecutive week price for all eight of the major fertilizers have been higher.

While prices are higher compared to last month, only one was up a significant amount. UAN32 was 5% higher compared to the previous month with an average price of $318 per ton.

The remaining seven major fertilizers were slightly higher. DAP had an average price of $511 per ton, MAP $536/ton, potash $385/ton, urea $408/ton, 10-34-0 $470/ton, anhydrous $596/ton and UAN28 $271/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.44/lb.N, anhydrous $0.36/lb.N, UAN28 $0.48/lb.N and UAN32 $0.50/lb.N.

Canadian fertilizer company Nutrien Ltd. announced last week it has agreed to buy Actagro LLC, a company that produces sustainable soil- and plant-health products, according to Dow Jones newswire.

Nutrien will pay $340 million for Actagro, which includes about $20 million in working capital. The deal is expected to close in the first half of this year.

Nutrien, which itself was recently formed in January 2018 with the merging of PotashCorp and Agrium, expects the deal will add to earnings in the first year. The company expects the business to generate about $55 million in run-rate EBITDA (earnings before interest, tax, depreciation and amortization) two years after the close with the realization of savings and organic growth opportunities.

Actagro has about 30 products, which have "a strong track-record of increasing crop productivity and financial returns for growers," according to Nutrien.

Actagro's products are produced at two facilities in California and Arkansas and distributed globally, including Nutrien's retail business. The acquisition includes Actagro's research and development team, and a near-complete research and development facility in California.

All eight of the major fertilizers tracked by DTN are now higher compared to last year with prices shifting higher. MAP is 9% more expensive, both DAP and potash are 12% higher, 10-34-0 is 13% more expensive, urea is 15% higher, UAN28 is 19% more expensive, anhydrous is 21% higher and UAN32 is now 22% more expensive compared to last year.

DTN collects roughly 1,700 retail fertilizer bids from 310 retailer locations weekly. Not all fertilizer prices change each week. Prices are subject to change at any time.

DTN Pro Grains subscribers can find current retail fertilizer price in the DTN Fertilizer Index on the Fertilizer page under Farm Business.

Retail fertilizer charts dating back to 2010 are available in the DTN fertilizer segment. The charts included cost of N/lb., DAP, MAP, potash, urea, 10-34-0, anhydrous, UAN28 and UAN32.

DRY
Date Range DAP MAP POTASH UREA
Feb 5-9 2018 458 493 344 355
Mar 5-9 2018 463 503 349 367
Apr 2-6 2018 478 508 352 370
Apr 30-May 4 2018 485 505 353 368
May 28-June 1 2018 483 504 354 364
Jun 25-29 2018 485 505 354 364
Jul 23-27 2018 486 504 356 366
Aug 20-24 2018 487 514 356 364
Sep 17-21 2018 494 520 362 384
Oct 15-19 2018 498 518 365 405
Nov 12-16 2018 500 530 368 407
Dec 10-14 2018 505 533 375 407
Jan 7-11 2019 508 533 381 407
Feb 4-8 2019 511 536 385 408
LIQUID
Date Range 10-34-0 ANHYD UAN28 UAN32
Feb 5-9 2018 415 492 227 261
Mar 5-9 2018 422 499 234 272
Apr 2-6 2018 425 508 239 274
Apr 30-May 4 2018 431 510 241 277
May 28-June 1 2018 439 504 241 276
Jun 25-29 2018 440 504 242 277
Jul 23-27 2018 442 501 243 279
Aug 20-24 2018 446 481 233 271
Sep 17-21 2018 448 494 239 278
Oct 15-19 2018 457 494 243 283
Nov 12-16 2018 457 519 245 287
Dec 10-14 2018 455 552 261 302
Jan 7-11 2019 461 573 267 304
Feb 4-8 2019 470 596 271 318

Russ Quinn can be reached at russ.quinn@dtn.com

Follow him on Twitter @RussQuinnDTN

(AG/BE)

Russ Quinn