OMAHA (DTN) -- Average retail fertilizer prices continued to dip lower the first week of August 2016, with one exception, according to fertilizer retailers surveyed by DTN.
That one exception would be UAN32, which is slightly higher in price compared to a month earlier. The nitrogen fertilizer averaged $307 per ton.
The remaining seven major fertilizers' prices were lower in price compared to the previous month, but once again, none were down significantly. DAP averaged $459/ton, MAP $488/ton, potash $346/ton and urea at $349/ton. 10-34-0 was at $548/ton, anhydrous $552/ton and UAN28 $254/ton.
On a price per pound of nitrogen basis, the average urea price was at $0.38/lb.N, anhydrous $0.34/lb.N, UAN28 $0.45/lb.N and UAN32 $0.48/lb.N.
Retailers report the summer fill activity has been almost nonexistent this growing season. Brent Hall, agronomy manager for South Central Cooperative located in Lacona, Iowa, said the normal summer fill activity for most retailers has been replaced by waiting out the market to see when the bottom is in the market.
"I think you really won't see much in new prices until maybe after Labor Day," Hall told DTN. "By then we will know what yields should generally be, and hopefully fertilizer prices will be established at that point."
Hall said he believes the fall price for fertilizers will most likely be lower than it was in the spring as commodity prices have continued to decline during most of this growing season. Where exactly fertilizer prices could be, however, is anybody's guess, he said.
One positive aspect to lower commodity prices and thus fertilizer prices is producers could have an opportunity to invest in building levels of fertilizer in their soils with less-expensive fertilizer. Hall added his home region of south-central Iowa should see above-average yields.
"You have fertilizer like potash, which is considerably less expensive compared to a year ago," he said. "I'm not worried about (fertilizer) demand because I think our producers will take the chance to build fertilizer levels this fall with decent crop yields and significantly lower fertilizer prices."
Based on DTN surveys, retail fertilizer prices remain double-digits lower compared to a year earlier.
Both UAN32 and 10-34-0 are 13% lower, MAP is 17% less expensive and both DAP and anhydrous are 19% lower than August 2015. UAN28 is 20% lower, urea is 25% less expensive and potash is 28% 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):
|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|
|June 6-10 2016||470||498||359||370|
|July 4-8 2016||469||496||359||361|
|Aug 1-5 2016||459||488||346||349|
|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|
|June 6-10 2016||556||569||267||310|
|July 4-8 2016||546||554||261||304|
|Aug 1-5 2016||548||552||254||307|
Russ Quinn can be reached at email@example.com
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