DTN Retail Fertilizer Trends

OMAHA (DTN) -- Average retail fertilizer prices continued to be mixed in the first week of December 2023, according to sellers surveyed by DTN.

Prices for five of the eight major fertilizers were lower than last month, while prices for the remaining three fertilizers were slightly higher.

Two fertilizers had a notable price move compared to last month. DTN designates a significant move as anything 5% or more. UAN28 was down 6% from last month and had an average price of $340 per ton. Urea, meanwhile, was 5% lower compared to a month earlier with an average price of $543 per ton.

Three fertilizers were down just slightly. DAP had an average price of $713 per ton, 10-34-0 $595/ton and UAN32 $409/ton.

Prices for the remaining three fertilizers were just slightly higher compared to last month. MAP had an average price of $820/ton, potash $516/ton and anhydrous $847/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.60/lb.N, anhydrous $0.52/lb.N, UAN28 $0.61/lb.N and UAN32 $0.64/lb.N.

Fitch Ratings said it was going to increase its price assumption for several different types of fertilizers, according to Dow Jones. Higher year-to-date prices, higher natural gas prices and supportive supply and demand trends were the reasons for the change.

Higher natural gas prices and improving demand are the reasons ammonia prices could be higher. Urea might see a price increase due to higher year-to-date prices and increased natural gas price assumptions.

DAP prices could be higher with some supply restrictions. And DAP demand should be supported by the upcoming planting season in the U.S., according to the report.

One fertilizer with little outlook change was potash. Potash exports from Russia and Belarus have been recovering but remain below historical levels.

"Demand remains strong, supported by imports to China, despite seasonally weaker demand in Brazil," the report stated.

All fertilizers are now lower by double digits compared to one year ago. MAP is 14% lower, 10-34-0 is 21% less expensive, DAP is 23% lower, urea is 31% lower, potash is 37% lower, both anhydrous and UAN32 are 40% less expensive and UAN28 is 42% less expensive compared to a year prior.

DTN gathers fertilizer price bids from agriculture retailers each week to compile the DTN Fertilizer Index. DTN first began reporting data in November 2008.

In addition to national averages, MyDTN subscribers can access the full DTN Fertilizer Index, which includes state averages, here: https://www.mydtn.com/….

Agricultural producers' sentiment increased for a second straight month, according to the Purdue University/CME Group Ag Economy Index. You can read about it here: https://www.dtnpf.com/….

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

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