DAP (diammonium phosphate) is one of the most common phosphate fertilizers used around the globe. Last week, phosphate prices at the four locations in the graph below were flat to negative week-over-week. Companies (SOIL) that are affected by movements in phosphate prices include Mosaic (MOS), PotashCorp (POT), Agrium (AGU), and Israel Chemicals (ICL).
Overall, DAP prices at the four locations in the above graph fell 86 basis points week-over-week. Prices at the US Gulf NOLA (New Orleans) fell 128 basis points week-over-week to $279 per metric ton, from $283 per metric ton. Similarly, Morocco, which has the largest reserves of phosphate rock in the world, saw DAP prices fall 106 basis points to $373 per metric ton, from $377 per metric ton.
At Tampa Bay in the United States, prices fell 28 basis points week-over-week to $359 per metric ton, from $360 per metric ton. In contrast to price movements at the above three locations, prices at the Central Florida location remained unchanged week-over-week at $299 per metric ton.
Compared to a year ago, DAP prices were lower last week. Excluding Morocco, overall prices at the above three locations were 4.0% lower year-over-year. At Morocco, however, prices were 6.0% higher year-over-year.
Next, let’s take a look at MAP (monoammonium phosphates), the second most common phosphate fertilizer.