OMAHA (DTN) -- Five of the eight major fertilizers showed increases for the first week in November 2017 compared to one month earlier, according to retailers surveyed by DTN.
UAN32 led the way with an average price increase of about 8% to $262 per ton. The average price of urea came in 2% higher at around $330/ton. DAP's average price also increased by about 2% to $434/ton. The average prices for MAP and anhydrous saw 1% increases compared to last month, at $455 and $401/ton, respectively.
The average prices for potash and UAN28 remained unchanged compared to last month, at $348 and $208/ton, respectively. Just one fertilizer, 10-34-0, saw its average price drop by about 2% this month at $405/ton.
On a price per pound of nitrogen basis, the average urea price was at $0.36/lb.N, anhydrous $0.24/lb.N, UAN28 $0.37/lb.N and UAN32 $0.41/lb.N.
Three of the eight major retail fertilizers are now lower compared to one year earlier, all by double digits. Anhydrous and UAN both are 15% lower from a year ago, while 10-34-0 is 10% less expensive. UAN32 and DAP remain unchanged, while potash, urea and MAP are higher by 11%, 3% and 1%, respectively.
In an analysis of fertilizer prices last week, http://bit.ly/…, agriculture economist David Widmar said producers should keep an eye on nitrogen in 2018.
P[L1] D[0x0] M[300x250] OOP[F] ADUNIT T
"Anhydrous ammonia prices have fallen 23% from spring prices, but smaller declines have been observed with other nitrogen fertilizers," he wrote.
"Urea prices have declined 6% while the price of 28% liquid nitrogen has declined 13%. The non-uniform decline in prices has created an interesting price dynamic among sources of nitrogen. Overall, urea and 28% prices are higher priced than anhydrous ammonia (the relative prices since 2010 are greater than 1.0). Since 2010, per unit of nitrogen prices of urea have been 1.20 times the price of anhydrous ammonia. Meanwhile, the average price for liquid 28% was 1.36 times anhydrous ammonia prices."
Widmar said throughout 2016, however, relative prices were below averages. By 2017, those prices returned to average levels, he said.
"In recent months, however, the price relationship has increased considerably as anhydrous ammonia prices have fallen," Widmar said.
"The price of urea was 1.45 times anhydrous ammonia prices in October. This was the highest level since 2012. Liquid 28% nitrogen reached a seven-year high of 1.66 times in late August. These price relationships will be important to monitor into 2018."
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.
DTN's average of retail fertilizer prices from a month earlier ($ per ton):
|Oct 31-Nov 4 2016||436||451||314||319|
|Nov 28-Dec 2 2016||435||445||318||331|
|Dec 26-30 2016||431||443||321||336|
|Jan 23-27 2017||429||443||322||347|
|Feb 20-24 2017||433||452||332||359|
|Mar 20-24 2017||438||464||338||356|
|Apr 17-21 2017||438||466||339||352|
|May 15-19 2017||437||471||340||350|
|Jun 12-16 2017||437||470||341||338|
|Jul 10-14 2017||436||467||340||321|
|Aug 7-11 2017||434||462||339||311|
|Sep 4-8 2017||431||458||338||302|
|Oct 2-6 2017||425||453||348||323|
|Oct 27-Nov 3 2017||434||455||348||330|
|Oct 31-Nov 4 2016||452||471||244||262|
|Nov 28-Dec 2 2016||447||465||217||256|
|Dec 26-30 2016||437||466||217||254|
|Jan 23-27 2017||436||480||235||268|
|Feb 20-24 2017||440||490||241||276|
|Mar 20-24 2017||441||507||248||280|
|Apr 17-21 2017||437||509||247||280|
|May 15-19 2017||436||510||248||283|
|Jun 12-16 2017||435||500||246||278|
|Jul 10-14 2017||431||451||235||268|
|Aug 7-11 2017||440||419||224||258|
|Sep 4-8 2017||418||413||215||248|
|Oct 2-6 2017||413||399||208||243|
|Oct 27-Nov 3 2017||405||401||208||262|
Todd Neeley can be reached at firstname.lastname@example.org
Follow him on Twitter @toddneeleyDTN
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