DTN Retail Fertilizer Trends

OMAHA (DTN) -- Retail fertilizer price moves continued to be mixed the third week of December 2016, according to fertilizer retailers surveyed by DTN.

Five of the eight major fertilizers showed lower prices from the previous week, although none were lower by a significant amount. The five were DAP with an average price of $432 per ton, MAP $437/ton, 10-34-0 $442/ton, UAN28 $217/ton and UAN32 $255/ton.

The remaining three fertilizers were slightly higher. Potash had an average price of $321/ton, urea $336/ton and anhydrous $468/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.37/lb.N, anhydrous $0.29/lb.N, UAN28 $0.39/lb.N and UAN32 $0.40/lb.N.

As the year draws to an end, this would be a time many farmers, for tax purposes, would be willing to pre-purchase fertilizer to lessen their tax burden. In recent years with lower farm income, some farmers have not worried about this issue, while others continue this practice.

Kenny Reinke, who farm near Neigh, Nebraska, told DTN he keeping a close eye on UAN prices but has yet to purchase any fertilizer. He also said he doesn't need to do anything with buying fertilizer for his taxes.

"I know there were some price increases the last couple of weeks, but there are deals around if you shop for them," Reinke said.

He'll use prices, not the calendar, to lock in UAN needs. With corn prices flat, he would like to see UAN under $200 per ton, he said.

Patrick Weiland, who farms near Athens, Wisconsin, typically pre-purchases some of his fertilizer needs but expects to pay as he goes this year unless fertilizer prices skyrocket.

"I talked with my fertilizer supplier last week and he said prices were fairly flat," Weiland said. "I think I will wait a couple months."

Weiland uses a urea, potash, starter blend, sulfur and zinc among his fertilizer options. He will apply urea both as a spread and as a sidedressing operation.

An Illinois farmer told DTN he had just booked all his anhydrous needs and about half of UAN32 needs last week. He paid $450 per ton for anhydrous and $200 per ton for UAN32, which included the fertilizer delivered to his farm.

"We liked the prices and we needed some tax help," he said. "UAN32 has gone up about $10 per ton or, so since we booked.

Retail fertilizers are lower compared to a year earlier. All fertilizers are now double digits lower.

Urea is now down 14%, DAP is 17% less expensive, MAP are 19% lower and potash is 21% less expensive. UAN28 is 22% lower while 10-34-0, anhydrous and UAN 32 are all 23% lower compared to a year prior.

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):

DRY
Date Range	DAP	MAP	POTASH	UREA
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 29-Sept 2 2016	449	464	327	326
Sept 26-30 2016	440	458	317	322
Oct 24-28 2016	436	451	313	317
Nov 21-25 2016	436	445	316	328
Dec 19-23 2016	432	437	321	336
LIQUID
Date Range	10-34-0	ANHYD	UAN28	UAN32
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
Aug 29-Sept 2 2016	493	509	233	275
Sept 26-30 2016	465	486	223	271
Oct 24-28 2016	452	472	224	262
Nov 21-25 2016	445	465	218	256
Dec 19-23 2016	442	468	217	255

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

Follow Russ Quinn on Twitter @RussQuinnDTN

(GH/AG)

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