DTN Retail Fertilizer Trends

UAN32 Prices Continue to Slip

Russ Quinn , DTN Staff Reporter
UAN32 retail prices have slipped about 5% in the last month, matching their February lows. (DTN chart)

OMAHA (DTN) -- For a second straight week retail fertilizer prices are showing some movement after months of extremely steady prices, according to retail fertilizer prices tracked by DTN for the fourth week of June 2016.

All eight of the major fertilizer were lower in price compared to the previous month. The only fertilizer to show a significant move was UAN32. The liquid nitrogen fertilizer was down 5% compared to the previous month and averaged $305/ton.

The remaining seven fertilizers were lower in price from last month, but the move was fairly minor. DAP averaged $470/ton, MAP $495/ton, potash $358/ton, urea $366/ton, 10-34-0 $554/ton, anhydrous $567/ton and UAN28 $265/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.40/lb.N, anhydrous $0.35/lb.N, UAN28 $0.47/lb.N and UAN32 $0.48/lb.N.

With the calendar set to change to July later this week, some farmers are considering locking in fertilizer for the upcoming 2017 growing season. Rob Fritz, senior agronomist for Hefty Seeds based in Baltic, South Dakota, wrote in the company's Equipment and Fertilizer Gazette last week that such moves may be premature.

"I have been getting reports of people trying to lock in 2017 urea," Fritz wrote. "It better be priced pretty low because we can get urea out of the Twin Cities at $230/ton FOB (wholesale price), and the expectation is we have not stopped the dropping yet."

Fritz added that if the markets see continued higher corn and soybean prices, fertilizer prices could see some market bounce, but added that would occur most likely in the fall sales time period.

Phosphorus (P) and potash (K) are holding fairly steady on lower inventories. They expect to get an idea on where these fertilizers will be on price in early August, he said.

According to DTN's surveys, all retail fertilizers remain double-digits lower than a year ago.

10-34-0 is 14% lower while MAP is 17% less expensive and DAP, anhydrous and UAN32 are all 18% lower. UAN28 is 20% lower, urea is 22% lower and potash is 27% less expensive 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 November 2008 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.

DTN's average of retail fertilizer prices from a month earlier ($ per ton):

DRY
Date Range DAP MAP POTASH UREA
June 22-26 2015 572 597 490 469
July 20-24 2015 569 594 487 469
Aug 17-21 2015 568 587 477 448
Sept 14-18 2015 563 579 462 432
Oct 12-16 2015 547 564 440 418
Nov 9-13 2015 547 561 426 405
Dec 7-11 2015 534 555 417 397
Jan 4-8 2016 495 521 392 381
Feb 1-5 2016 488 502 381 370
Feb 29-Mar 4 2016 476 492 373 374
Mar 28-Apr 1 2016 478 501 370 386
Apr 25-29 2016 476 502 366 386
May 23-27 2016 476 501 365 381
June 20-24 2016 470 495 358 366
LIQUID
Date Range 10-34-0 ANHYD UAN28 UAN32
June 22-26 2015 641 690 330 369
July 20-24 2015 636 689 324 354
Aug 17-21 2015 611 667 309 349
Sept 14-18 2015 593 653 300 345
Oct 12-16 2015 584 640 295 338
Nov 9-13 2015 581 631 289 332
Dec 7-11 2015 575 625 284 330
Jan 4-8 2016 572 582 273 316
Feb 1-5 2016 549 555 263 305
Feb 29-Mar 4 2016 566 537 260 309
Mar 28-Apr 1 2016 561 580 268 315
Apr 25-29 2016 560 587 274 321
May 23-27 2016 560 587 274 321
June 20-24 2016 554 567 265 305

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

(MZT/BAS)

Russ Quinn