By Paul Willows
Massive volatility seen on global urea prices this past week- enough to humble the most experienced traders. Global urea gapped higher over $100 a ton this week as fears grew about of supply of gas from Russia to feed the fertilizer plants in Europe. Rumours of China coming back to the Urea market have been squashed. Feels like Aust famers are ready to pay higher prices to boost crops- given rainfall and prices. With humble pie eaten- we have the strength to see prices move higher.
Phosphate markets – were quiet again. DAP prices were a little softer internationally but no a lot going on compared to urea. There are offers from China for phosphates which is keeping buyers less concerned about future supply. Demand from Brazil and the US has been curtailed/delayed because of the high prices.