DTN Retail Fertilizer Trends

OMAHA (DTN) -- Average retail fertilizer prices continued to hold steady the second week of May 1016, according to fertilizer retailers surveyed by DTN. Retail fertilizer prices have been steady for five consecutive weeks now.

Prices of four fertilizers were lower while four were higher compared to last month, though moves in both directions were fairly minor. The four fertilizers with a slightly lower price were DAP with an average price of $476 per ton, MAP $502/ton, potash $366/ton and urea $385/ton.

The other four fertilizers with slightly higher prices were 10-34-0 with an average price of $561 per ton, anhydrous $588/ton, UAN28 $274/ton and UAN32 $321/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.42/lb.N, anhydrous $0.36/lb.N, UAN28 $0.49/lb.N and UAN32 $0.50/lb.N.

With tight crop margins in place for the 2016 growing season, the natural reaction for some corn farmers would be to tighten their input spending belt. For some, that might start with cutting back some on applying fertilizer.

But not everyone feels this way. Doug Zillinger, who farms near Logan, Kansas, told DTN he has decided to continue to apply fertilizer as he has been doing in recent years.

"I went with the recommendation on my wheat as most of the field had (fertilizer) carryover due to the drought," Zillinger said. "For milo, with the 9 -- yes I said 9 -- inches of rain that we had, we will go full rate on the milo because we have a better chance to grow something this year than we have had in the last four years."

Zillinger added that the first 5 inches that fell in his home region of north-central Kansas came in a slow drizzle and soaked into the soil. Then, the next 2 inches came in OK, and the waters in creeks never came up at all.

"I have never seen anything like that in my life," he said.

Another farmer who is not altering his fertilizer application plan is Mark Israel. The southern Georgia farmer said he looked into cutting back on applying fertilizer but ultimately decided not to.

"I actually went a little higher on nitrogen for corn," Israel told DTN. "I feel that is even more important to make good yields now that (commodity) prices have fallen."

With retail fertilizer moving lower in recent months, fertilizers are lower compared to a year earlier. All fertilizers are now double-digits lower.

UAN32 and 10-34-0 are both 14% lower while both MAP and urea are both 16% less expensive from a year previous. In addition, DAP, anhydrous and UAN28 are all 17% less expensive while potash is 26% lower.

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
May 11-15 2015	570	598	491	457
June 8-12 2015	571	598	491	461
July 6-10 2015	570	596	489	470
Aug 3-7 2015	567	591	482	464
Aug 31-Sept 4 2015	564	583	471	439
Sept 28-Oct 2 2015	561	573	450	424
Oct 26-30 2015	546	562	431	409
Nov 23-27 2015	543	556	422	397
Dec 21-25 2015	519	541	408	390
Jan 18-22 2016	495	520	392	381
Feb 15-19 2016	477	496	375	370
Mar 14-18 2016	477	499	369	390
Apr 11-15 2016	480	504	367	388
May 9-13 2016	476	502	366	385
LIQUID
Date Range	10-34-0	ANHYD	UAN28	UAN32
May 11-15 2015	653	711	331	371
June 8-12 2015	649	709	331	371
July 6-10 2015	640	695	327	366
Aug 3-7 2015	628	677	318	354
Aug 31-Sept 4 2015	602	659	304	349
Sept 28-Oct 2 2015	594	644	295	342
Oct 26-30 2015	583	638	292	334
Nov 23-27 2015	580	624	286	325
Dec 21-25 2015	571	608	277	330
Jan 18-22 2016	571	581	272	319
Feb 15-19 2016	565	538	259	309
Mar 14-18 2016	560	566	276	312
Apr 11-15 2016	560	587	273	318
May 9-13 2016	561	588	274	321

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

Follow Russ Quinn on Twitter @RussQuinnDTN

(AG/BAS)

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