Urea
Domestic granular urea buying is quiet, but conditions are shaping up for an ideal contracting period thanks to strong rains and falling prices, suppliers said.
Argus last assessed granular urea at A$1,090-1,180/t fca Geelong, reflecting softer offers in the market.
The grain growing regions of Western Australia, South Australia, Victoria and New South Wales received 5-100mm of rain in the week to 16 June, the Bureau of Meteorology data shows. Favourable rainfall in June and July will play into grower decisions for top-dressing urea applications.
Australia’s urea imports in January-April dropped by 13 percent on the year to 1.07 million tonnes, trade data from the Australian Bureau of Statistics (ABS) shows. The 50 percent drop in imports from the Middle East was partially offset by a 42 percent increase from Southeast Asia, particularly Malaysia and Indonesia, ABS data shows.
Australia’s federal government has underwritten a further 98,500t of urea under its A$7.5bn ($5.3bn) fuel and fertiliser security facility across three vessels from Southeast Asia, the Department of Agriculture, Fisheries and Forestry said on 16 June.
The domestic fertiliser market is yet to show any meaningful reaction to the news of a peace deal between the US and Iran.
Phosphates
There is some domestic MAP/DAP demand for late winter cropping, but the market is otherwise quiet.
Commentary and pricing supplied by Argus Media
Disclaimer: The information provided in this report is general in nature and is intended for informational purposes only.