DTN Retail Fertilizer Trends

OMAHA (DTN) --- Two fertilizers saw significant price increases in the third week of September 2021, according to retail prices tracked by DTN.

A number of other fertilizer prices moved higher too, although they didn't meet the 5% threshold, which DTN considers significant.

Potash was 10% higher compared to last month. The fertilizer had an average price of $625/ton.

Urea was 5% more expensive than the prior year. The nitrogen fertilizer had average price of $585/ton.

The average retail price for MAP was 4% more expensive than last month at $786/ton.

At 3% higher, anhydrous was $772/ton, UAN28 $383/ton, UAN32 $436/ton.

DAP prices increased 2% to an average price of $709/ton, while 10-34-0 was flat at $633/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.64/lb.N, anhydrous $0.47/lb.N, UAN28 $0.68/lb.N and UAN32 $0.68/lb.N.

Higher natural gas prices in Europe have altered the profitability of the fertilizer business. Dow Jones reported last week CF Industries said it would evaluate whether an impairment charge with respect to its business in the United Kingdom (U.K.) may be required. An impairment charge reflects when an asset's value can no longer be justified by reference to future cash flows.

The fertilizer giant announced on Sept. 15 it was halting operations at both its Billingham and Ince, U.K., manufacturing complexes due to high natural gas prices. A CF Industries press release from Sept. 21 announced the company restarted the ammonia plant at its Billingham complex.

Dow Jones reported CF reached an interim agreement with the U.K. government to cover the costs to restart the ammonia plant and produce carbon dioxide for customers in the UK. Operations remain shut down at the Ince manufacturing complex.

CF reported in June its investment in the U.K. business was about $850 million and the U.K. operations accounted for about 2% of its consolidated gross margin for the year ended Dec. 31.

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

10-34-0 is now 39% more expensive, urea is 62% higher, DAP is 63% more expensive, UAN32 is 72% higher, MAP is 74% more expensive, UAN28 is 78% higher, anhydrous 82% is more expensive and potash is 85% higher 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/….

Two major fertilizer producers announced shutdowns at European fertilizer manufacturing facilities in recent weeks due to high natural gas prices. You can read it here: https://www.dtnpf.com/….

DRY
Date Range	DAP	MAP	POTASH	UREA
Sep 21-25 2020	434	453	338	361
Oct 19-23 2020	446	476	332	359
Nov 16-20 2020	455	488	336	358
Dec 14-18 2020	466	522	360	361
Jan 11-15 2021	486	551	373	373
Feb 8-12 2021	588	642	398	453
Mar 8-12 2021	615	690	423	483
Apr 5-9 2021	618	699	431	504
May 3-7 2021	634	705	436	514
May 31-Jun 4 2021	652	712	443	524
Jun 28-Jul 2 2021	677	721	476	542
Jul 26-30 2021	695	753	549	554
Aug 23-27 2021	697	756	569	557
Sep 20-24 2021	709	786	625	585
Liquid
Date Range	10-34-0	ANHYD	UAN28	UAN32
Sep 21-25 2020	457	425	215	253
Oct 19-23 2020	456	424	209	249
Nov 16-20 2020	455	422	207	249
Dec 14-18 2020	463	450	210	253
Jan 11-15 2021	469	474	210	247
Feb 8-12 2021	512	524	243	285
Mar 8-12 2021	581	625	306	344
Apr 5-9 2021	605	692	341	378
May 3-7 2021	618	712	358	398
May 31-Jun 4 2021	619	719	363	412
Jun 28-Jul 2 2021	625	730	366	421
Jul 26-30 2021	631	737	365	419
Aug 23-27 2021	632	748	370	420
Sep 20-24 2021	633	772	383	436

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

Follow him on Twitter at @RussQuinnDTN

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