DTN Fertilizer Trends

Fertilizer Prices Wilt in Summer Heat

Russ Quinn
By  Russ Quinn , DTN Staff Reporter
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Urea prices dropped $16/ton, or 4%, from the same time last month, with retailers reporting an average price of $357/ton. Urea is 17% less expensive than last year. (DTN Chart)

OMAHA (DTN) -- Retail fertilizer prices continue to be lower, according to prices tracked by DTN for the last week of June 2020. This is the fourth straight week all eight major fertilizers are lower compared to the prior month.

While retail prices were lower, none declined by a significant amount, which DTN designates as 5% or more. DAP has an average price of $406/ton, down $1; MAP $427/ton, down $4; potash $361/ton, down $3; urea $357/ton, down $16; 10-34-0 $468/ton, down less than $1; anhydrous $461/ton, down $14; UAN28 $233/ton, down $3; and UAN32 $272/ton, down $4.

On a price per pound of nitrogen basis, the average urea price was at $0.39/lb.N, anhydrous $0.28/lb.N, UAN28 $0.42/lb.N and UAN32 $0.43/lb.N.

Although sidedressing operations are finished for the year, Bob Spratt, manager of LeRoy Fertilizer Services located in LeRoy, Illinois, said he was busy last week getting things wrapped up before the long holiday weekend.

Spratt's home area of central Illinois has been dry so far this growing season.

"It seems like there's a wall at Interstate 55 and Interstate 72," Spratt told DTN.

The good news for those in the market for fertilizer in the coming months is the price outlook appears to be lower for the 2021 crop. Spratt believes nitrogen, phosphorus and potash will all stay fairly flat.

One thing to watch locally could be how the closing of the Illinois River affects the supply of fertilizer in the region, he said. The aging lock and dam system is closing for repairs.

DTN Cash Grain Analyst Mary Kennedy reported on this subject in her Market Matters Blog on June 15 (https://www.dtnpf.com/…). The closures are scheduled to begin on July 1 and last through Oct. 24.

Kennedy wrote no vessel traffic will be allowed through the affected locks, which means barges that normally carry agricultural commodities through those locks will be at a standstill. The repairs were scheduled during the months of July through October to avoid spring flooding and to eliminate an impact during harvest season when barge traffic is heaviest, she wrote.

Retail fertilizers are all lower in price from a year ago. Anhydrous is 21% lower, MAP is 20% less expensive, DAP is 19% lower, urea is 17% less expensive, UAN28 is 15% lower, UAN32 is 14% less expensive, potash is 8% lower and 10-34-0 is 3% less expensive 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.

Jul 1-5, 2019498532392432
Jul 29-Aug 2 2019494530393428
Aug 26-30 2019491494387412
Sep 23-27, 2019479475384404
Oct 21-25, 2019465473383404
Nov 18-22 2019456466381387
Dec 16-20 2019444460378377
Jan 13-17 2020433444375357
Feb 10-14 2020413435373361
Mar 9-13 2020407432370377
Apr 6-10 2020409434370382
May 4-8 2020413433370388
Jun 1-5 2020407431364373
Jun 29-Jul 3 2020406427361357
Date Range10-34-0ANHYDUAN28UAN32
Jul 1-5, 2019482584276317
Jul 29-Aug 2 2019486580272320
Aug 26-30 2019470528256290
Sep 23-27, 2019471511254289
Oct 21-25, 2019471507251291
Nov 18-22 2019472496245284
Dec 16-20 2019469487239276
Jan 13-17 2020470487237275
Feb 10-14 2020464490235277
Mar 9-13 2020466490235278
Apr 6-10 2020468492235278
May 4-8 2020468492237280
Jun 1-5 2020468475236276
Jun 29-Jul 3 2020468461233272

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

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Russ Quinn