Gleadell Fertiliser Report
By Calum Findlay, Gleadell Agricultures fertiliser trader.
The Cereals event saw the end of a five month slump in Urea prices as recent activity now suggests that the market has turned a corner, says Calum Findlay, Gleadell Agricultures fertiliser trader.
Egyptian Granular prices are recovering fast and in most areas demand is rebuilding and it is likely that the worst is over for suppliers.
Pakistan and India are due to tender, and stocks in the US are low, so this now points to a sustained price run up in the coming months.
The release of GrowHow and Yara Ammonium Nitrate terms following Cereals have been met with some dismay by farmers: limited tonnage, big prices and no forward offers.
With Urea now offering almost a 20% cost per unit saving UK nitrogen manufacturers may face an uphill battle, but they are also happy in the knowledge that their production is only capable of covering half the UK demand so it will sell anyway.
Through our designated port agreements at Avonmouth and Immingham, Gleadell continue to import fertiliser products in to the UK: our range is expanding as the quality and flexibility of these products at last become recognised by the UK farmer, Mr Findlay adds.
