DTN Retail Fertilizer Trends
Majority of Retail Fertilizer Prices Decline as Stock Valuations Take a Hit
OMAHA (DTN) -- Retail fertilizer prices tracked by DTN for the first week of August 2019 show prices continue to be mixed. However, more fertilizer prices were lower than were higher compared to last month.
Five fertilizers were lower compared to the previous month with none down a significant amount, which DTN considers 5% or more. DAP had an average price of $495 per ton, down $2; MAP $531/ton, down $1; urea $428/ton, down $3; anhydrous $580/ton, down $5; and UAN28 $272/ton, down $5.
Three fertilizers were slightly higher compared to last month, but again, the move higher was fairly slight. Potash had an average price of $395/ton, up $3; 10-34-0 $491/ton, up $6; and UAN32 $320/ton, up $3.
On a price per pound of nitrogen basis, the average urea price was at $0.47/lb.N, anhydrous $0.35/lb.N, UAN28 $0.49/lb.N and UAN32 $0.50/lb.N.
U.S.-China trade tensions have had a negative effect on agriculture and fertilizer stocks. Dow Jones reported last week that fertilizer companies have come under pressure, highlighted by disappointing quarterly results from fertilizer manufacturer Mosaic Co.
Mosaic's stock slid 12% in early trading last Tuesday, its biggest one-day drop since July 2013. The company, which cut its full-year earnings forecast following severe flooding in the U.S. Midwest this spring, was the worst performer in the S&P 500 with shares heading for a fresh 52-week closing low.
Other fertilizer companies also saw significant losses last week. Nutrien Ltd. And CF Industries Holdings Inc. saw their stock price decline 4% and 0.5% respectively.
Weather issues, in addition to the trade woes, have also hurt fertilizer companies. Sales declined this spring as farmers in the Midwest faced persistent wet weather.
Heightening tensions between the world's two largest economies have sparked fears among some analysts and investors that the trade battle could hinder the decade-long U.S. economic expansion.
"We don't think a trade deal will get done before 2020, therefore we're recommending that investors stay away from trade-sensitive areas of the market such as agriculture even though these companies are getting cheap," Matthew Granski, director of strategy at Miracle Mile Advisors in Los Angeles, said in the article.
Trade and weather have already been weighing on the income of U.S. farmers, which have been hurt by lower overseas purchases of U.S. corn, soybeans and other crops. This is expected to crimp sales of fertilizer and farm machinery, according to Dow Jones.
All eight of the major fertilizers are now higher compared to last year with prices shifting higher. DAP is 2% higher, MAP is 5% more expensive, 10-34-0 is 10% higher, potash is 11% more expensive, UAN28 is 17% higher, both urea and UAN32 are now 18% more expensive and anhydrous is 20% higher 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 |
| Aug 6-10 2018 | 487 | 507 | 356 | 363 |
| Sep 3-7 2018 | 488 | 514 | 358 | 366 |
| Oct 1-5 2018 | 501 | 523 | 364 | 389 |
| Oct 29-Nov 2 2018 | 506 | 528 | 366 | 408 |
| Nov 26-30 2018 | 501 | 530 | 369 | 409 |
| Dec 24-28 2018 | 507 | 533 | 379 | 407 |
| Jan 21-25 2019 | 512 | 535 | 383 | 409 |
| Feb 18-22 2019 | 512 | 536 | 385 | 404 |
| Mar 18-22 2019 | 509 | 533 | 386 | 401 |
| Apr 15-19 2019 | 504 | 531 | 388 | 404 |
| May 13-17 2019 | 498 | 526 | 392 | 426 |
| Jun 10-14 2019 | 497 | 527 | 392 | 434 |
| Jul 8-12, 2019 | 497 | 532 | 392 | 431 |
| Aug 5-9 2019 | 495 | 531 | 395 | 428 |
| LIQUID | ||||
| Date Range | 10-34-0 | ANHYD | UAN28 | UAN32 |
| Aug 6-10 2018 | 445 | 482 | 233 | 271 |
| Sep 3-7 2018 | 446 | 480 | 232 | 271 |
| Oct 1-5 2018 | 451 | 488 | 237 | 279 |
| Oct 29-Nov 2 2018 | 457 | 505 | 245 | 285 |
| Nov 26-30 2018 | 457 | 519 | 246 | 287 |
| Dec 24-28 2018 | 457 | 568 | 266 | 303 |
| Jan 21-25 2019 | 467 | 584 | 270 | 313 |
| Feb 18-22 2019 | 470 | 596 | 271 | 317 |
| Mar 18-22 2019 | 470 | 597 | 270 | 318 |
| Apr 15-19 2019 | 481 | 594 | 270 | 317 |
| May 13-17 2019 | 487 | 595 | 267 | 311 |
| Jun 10-14 2019 | 487 | 591 | 271 | 314 |
| Jul 8-12, 2019 | 485 | 585 | 276 | 317 |
| Aug 5-9 2019 | 491 | 580 | 272 | 320 |
Russ Quinn can be reached at russ.quinn@dtn.com
Follow him on Twitter @RussQuinnDTN
(KD/BAS)
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