DTN Retail Fertilizer Trends

OMAHA (DTN) -- Potash prices rose significantly compared to last month, while the average retail price of DAP reached a 10-year high, according to prices tracked by DTN for the second week of September 2021.

Potash was 6% higher compared to last month. The fertilizer had an average price of $598/ton.

The remaining seven fertilizers were all just slightly higher. DTN designates a significant price increase as 5% or more.

Four fertilizers had price increases of 3% compared to last month. MAP had an average price of $776/ton, urea $572/ton, anhydrous $762/ton, and UAN28 $381/ton.

The price of UAN32 increased 2% to $428/ton.

DAP prices increased 1% to $702/ton. The average price of 10-34-0 was fractionally higher at $632/ton. DAP rose above $700/ton for the first time in nearly 10 years. The last time the phosphorus fertilizer's price was this high was the second week of Dec. 2011 when the average price was at $702/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.62/lb.N, anhydrous $0.46/lb.N, UAN28 $0.68/lb.N and UAN32 $0.67/lb.N.

There's more evidence fertilizer supply shortages could be coming. Last week, two major fertilizer manufacturers announced they were shutting down European facilities due to a relatively new issue facing fertilizer production -- high natural gas prices. (You can find more on rising natural gas prices here: https://www.wsj.com/…)

On Sept. 15, CF Industries announced a halt in operations at two manufacturing facilities in the United Kingdom. Plants in Billingham and Ince, UK, are stopping production.

"The company does not have an estimate for when production will resume at the facilities," according to a CF Industries press release.

Then on Sept. 17 Yara announced it will curtail production at a at number of its European plants because record high natural gas prices in Europe are affecting ammonia production margins, according to a Yara press release.

By this week, Yara will have shut down around 40% of its European ammonia production capacity.

"Yara will continue to monitor the situation, with the objective to keep supplying customers but curtailing production where necessary," according to a press release.

Retail fertilizer prices compared to a year ago show all fertilizers have increased significantly.

10-34-0 is now 39% more expensive, urea is 59% higher, DAP is 62% more expensive, UAN32 is 69% higher, MAP is 73% more expensive, both potash and UAN28 are now 74% higher and anhydrous is 77% more expensive compared to last year.

DTN surveys more than 300 retailers, gathering roughly 1,700 fertilizer price bids, to compile the DTN Fertilizer Index each week. In addition to national averages, MyDTN subscribers can access the full DTN Fertilizer Index, which includes state averages, here: https://www.mydtn.com/….

Fertilizer manufacturer CF Industries announced they restarted ammonia plants at the Donaldsonville (Louisiana) Complex after Hurricane Ida. You can read it here: https://www.dtnpf.com/….

DRY
Date Range	DAP	MAP	POTASH	UREA
Sep 14-18 2020	434	448	344	360
Oct 12-16 2020	445	475	332	359
Nov 9-13 2020	454	486	333	358
Dec 7-11 2020	456	510	348	361
Jan 4-8 2021	482	543	369	368
Feb 1-5 2021	554	601	389	429
Mar 1-5 2021	609	673	416	474
Mar 29-Apr 2 2021	618	697	429	502
Apr 26-30 2021	629	703	433	513
May 24-28 2021	652	709	443	523
Jun 21-25 2021	670	720	469	541
Jul 19-23 2021	695	750	543	553
Aug 16-20 2021	695	755	564	556
Sep 13-17 2021	702	776	598	572
Liquid
Date Range	10-34-0	ANHYD	UAN28	UAN32
Sep 14-18 2020	455	431	219	253
Oct 12-16 2020	457	424	209	249
Nov 9-13 2020	455	422	208	248
Dec 7-11 2020	464	429	210	252
Jan 4-8 2021	464	470	209	251
Feb 1-5 2021	502	507	239	272
Mar 1-5 2021	560	560	254	304
Mar 29-Apr 2 2021	599	685	340	377
Apr 26-30 2021	613	710	350	391
May 24-28 2021	619	719	361	407
Jun 21-25 2021	625	724	366	420
Jul 19-23 2021	632	736	365	419
Aug 16-20 2021	631	743	369	420
Sep 13-17 2021	632	762	381	428

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

Follow him on Twitter at @RussQuinnDTN

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