DTN Retail Fertilizer Trends
Fertilizer Prices Steady Again
OMAHA (DTN) -- According to retail fertilizer prices tracked by DTN for the first week of June 2015, prices continue extremely steady. As has been the case in recent weeks, no fertilizers are significantly lower or higher compared to a month earlier.
Five of the eight major fertilizers gained in price compared to a month prior, but these moves were fairly minor. DAP averaged $570/ton, potash $491/ton, urea $461/ton, UAN28 $331/ton and UAN32 $371/ton.
Two fertilizers were lower compared to the previous month, but again the move down was small. DAP averaged $570/ton, MAP $597/ton and anhydrous $710/ton.
One fertilizer, MAP, was unchanged from last year's retail price.
On a price per pound of nitrogen basis, the average urea price was at $0.50/lb.N, anhydrous $0.43/lb.N, UAN28 $0.59/lb.N and UAN32 $0.58/lb.N.
Current headlines involving fertilizer usually have not been positive for the fertilizer industry. The best example may be the Des Moines Water Works suing 10 rural drainage districts in and around Des Moines and Raccoon rivers for elevated nitrate levels.
But not all the headlines with fertilizer are negative. The Fertilizer Institute (TFI) reports U.S. farmers have managed to double corn production all while only using slightly more fertilizer over the last 34 years.
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According to data from USDA's National Agricultural Statistics Service (NASS), in 1980 U.S. farmers grew 6.64 billion bushels of corn using 3.2 pounds of nutrients (N, P & K) per bushel. In 2014, corn farmers grew 14.22 bb using only 1.6 lbs of nutrients per bushel.
This represents a 114% increase in production using just 4.5% more total nutrient during the same time, TFI noted. (The TFI press release can be found at http://bit.ly/…)
"Numbers don't lie, and this trend of continuous environmental and economic performance improvement is something that agriculture should be very proud of," said Chris Jahn, TFI president. "But we are not resting on our laurels, and believe that farmers and the businesses that serve them will continue this 34-year trend of improving efficiency."
Jahn credited the widespread adoption of the 4R (use of the right fertilizer source at the right rate, right time and right place) program as an example of sustainable agriculture and which also grows farm profitability.
Only one of the eight major fertilizers are double-digits higher in price compared to June of 2014, all while commodity prices are significantly lower from a year ago; 10-34-0 is 16% higher compared to last year.
Only potash, up 2%, is slightly more expensive compared to a year earlier. One fertilizer, anhydrous, is nearly unchanged from the price from last year.
The remaining five nutrients are now lower compared to retail prices from a year ago. DAP is 4% less expensive, MAP is 5% lower, UAN28 is down 7%, UAN32 is now 8% less expensive and urea is 15% less expensive from a year earlier.
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 |
June 2-6 2014 | 596 | 631 | 482 | 544 |
June 30-July 4 2014 | 592 | 623 | 483 | 535 |
July 28-Aug 1 2014 | 587 | 610 | 476 | 519 |
August 25-29 2014 | 585 | 602 | 475 | 517 |
Sept 22-26 2014 | 579 | 600 | 473 | 510 |
Oct 20-24 2014 | 582 | 599 | 478 | 507 |
Nov 17-21 2014 | 576 | 595 | 480 | 493 |
Dec 15-19 2014 | 565 | 592 | 483 | 461 |
Jan 12-16 2015 | 566 | 594 | 486 | 465 |
Feb 9-13 2015 | 569 | 597 | 488 | 473 |
Mar 9-13 2015 | 570 | 597 | 489 | 471 |
Apr 6-Apr 10 2015 | 570 | 598 | 491 | 461 |
May 4-8 2015 | 570 | 598 | 491 | 457 |
June 1-5 2015 | 570 | 598 | 491 | 461 |
LIQUID | ||||
Date Range | 10-34-0 | ANHYD | UAN28 | UAN32 |
June 2-6 2014 | 562 | 708 | 357 | 404 |
June 30-July 4 2014 | 564 | 694 | 352 | 400 |
July 28-Aug 1 2014 | 542 | 671 | 339 | 380 |
August 25-29 2014 | 555 | 699 | 332 | 371 |
Sept 22-26 2014 | 555 | 694 | 329 | 377 |
Oct 20-24 2014 | 557 | 697 | 327 | 367 |
Nov 17-21 2014 | 560 | 709 | 322 | 366 |
Dec 15-19 2014 | 572 | 705 | 322 | 362 |
Jan 12-16 2015 | 582 | 710 | 325 | 364 |
Feb 9-13 2015 | 589 | 707 | 330 | 370 |
Mar 9-13 2015 | 626 | 706 | 331 | 371 |
Apr 6-Apr 10 2015 | 648 | 709 | 333 | 370 |
May 4-8 2015 | 653 | 711 | 331 | 371 |
June 1-5 2015 | 650 | 710 | 331 | 371 |
Russ Quinn can be reached at russ.quinn@dtn.com
(MZT/ES)
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