The global urea market has remained quiet this week with price sentiments cooling following less nearby demand from the US. The signals are that we will see granular prices at origin correct down for new business, already down $10–15/t this week, but with a fresh Pakistan purchase tender for 300,000 tonnes expected in early September support may be not so far away. Traders want to buy at lower values for Oct/Dec shipments and watch the market with interest, any significant dip in prices will definitely be a buying opportunity as all are sure that with a slow start to the campaign, demand in the EU will certainly outpace supply in Q4.
Prilled urea prices have also lowered slightly due to a sale into Brazil, these new levels may encourage more buyers into the market. Producers are trying to hold out for their original price ideas but to encourage more buying they will now have to consider the lower numbers on offer today from buyers from both Europe and the UK to achieve sales in what is a quiet market.
Interest in Alzon 46, the new stabilised nitrogen fertiliser being marketed exclusively through Gleadell in the UK, remains high. Delaying the whole time sequence of nitrification from being applied to being available in a nitrate form, unlike a urease inhibitor, Alzon 46 is a more efficient, more environmentally friendly fertiliser and will be available to the UK farmer for Oct/Nov delivery.
In the Baltic and Black Sea, AN business remains slow because of a lack of consensus between buyers and sellers. In Europe, traders still have sufficient stocks and sales continue at the slow pace seen over the past few months. In the UK, producers plan to increase AN prices by £4/t from 1 September to £300/t DEL to farmers, as farmers continue to focus on combining this is likely to have little effect.
The global phosphates market is very slow. More demand seems to be emerging from Latin America which is keeping export prices stable and interest from India and Pakistan is expected to prompt buyers back to the market. Phosphate demand in the UK remains steady and is likely to increase as OSR growers start to turn attentions to Autumn drilling.
Activity in the global potash market remains dull because of a lack of direction. Buyers across markets are awaiting clarity on the Chinese settlement price before they finalise major purchases.
Gleadell are offering “granular NS” a compound fertiliser containing 27.5N/11SO3/6CaO as a little and often approach to the application of sulphur in the Spring. All nutrients are in readily available form allowing easy uptake. This approach to sulphur and nitrogen application will provide adequate supply of these nutrients at all the main growing phases and limit potential losses through leaching. Guaranteed as 95% 2–5mm this is a high quality product and an excellent addition to the Gleadell range of fertilisers.