DTN Retail Fertilizer Trends

Prices of DAP, Other Fertilizers Continue to Move Lower

Russ Quinn
By  Russ Quinn , DTN Staff Reporter
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DAP is 6% lower compared to a month ago with an average price of $414/ton. (DTN chart)

OMAHA (DTN) -- As has been the case for quite some time, retail fertilizer prices continue to be mostly lower, according to prices tracked by DTN for the fourth week of January 2020.

Only one fertilizer had a sizeable price decline compared to last month. DAP is 6% lower compared to the month prior and now has an average price of $414/ton.

Five other fertilizers had a slight price decline from the previous month but nothing significant. MAP had an average price of $435/ton, potash $373/ton, urea $359/ton, 10-34-0 $467/ton and UAN28 $237/ton.

The remaining two fertilizers had a slight price increase looking back to last month. Anhydrous had an average price of $488/ton and UAN32 $275/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.39/lb.N, anhydrous $0.30/lb.N, UAN28 $0.42/lb.N and UAN32 $0.43/lb.N.

With the retail fertilizer market being mostly lower for several months now, it is only natural to wonder if this trend will stay in place for the near future or if the trend is bound to change. A majority of fertilizer retailers appear to believe short of a drastic change in the market these lower prices might be around for a while.

Bob Spratt, manager of LeRoy Fertilizer Services located in LeRoy, Illinois, is among those who believe fertilizer prices could continue to be lower, at least into the spring. It would seem the market is going to stay flat to lower as we head into the spring, he said.

"Nitrogen supplies are strong in the U.S., which will keep a lid on price appreciation," Spratt told DTN.

Despite the extremely wet growing season central Illinois saw last year, farmers were able to get fertilizer applied last fall after harvest was completed and before winter began. Spratt said he was able to just about get all of his fertilizer on last fall.

The winter of 2019-2020 has been relatively mild, he said. This is after the previous winter, which featured the bone-chilling polar vortex, which hit most of the Corn Belt about this time one year ago.

"I'm hoping the groundhog was right and we have an early spring, since we haven't really had any winter," he said.

Retail fertilizers are now all lower in price from a year ago. MAP and DAP are both now 19% lower, anhydrous is 17% less expensive, UAN28 is 13% lower, both urea and UAN32 are 12% less expensive, potash is 3% less expensive and 10-34-0 is 1% lower from last year at this time.

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
Jan 28-Feb 1 2019 513 536 384 407
Feb 25-Mar 01 2019 511 535 386 404
Mar 25-29 2019 509 534 385 401
Apr 22-26 2019 497 530 388 408
May 20-24 2019 497 527 392 428
Jun 17-21 2019 496 532 392 435
Jul 15-19, 2019 497 532 392 430
Aug 12-16 2019 493 503 387 413
Sep 9-13 2019 486 482 385 407
Oct 7-11, 2019 472 473 383 403
Nov 4-8 2019 462 471 384 396
Dec 2-6 2019 445 463 379 381
Dec 30-Jan 3 2020 438 446 376 363
Jan 27-31 2020 414 435 373 359

LIQUID

Date Range 10-34-0 ANHYD UAN28 UAN32
Jan 28-Feb 1 2019 468 585 271 313
Feb 25-Mar 01 2019 470 596 270 318
Mar 25-29 2019 470 597 269 318
Apr 22-26 2019 483 594 268 315
May 20-24 2019 487 595 270 314
Jun 17-21 2019 487 589 270 318
Jul 15-19, 2019 485 585 275 317
Aug 12-16 2019 475 543 258 295
Sep 9-13 2019 471 516 253 289
Oct 7-11, 2019 470 509 253 289
Nov 4-8 2019 473 499 249 289
Dec 2-6 2019 470 490 242 276
Dec 30-Jan 3 2020 470 487 238 273
Jan 27-31 2020 467 488 237 275

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

Follow him on Twitter @RussQuinnDTN

(SK/CZ)

Russ Quinn