DAP (diammonium phosphate) prices rose at the beginning of 2017 and moved flat to negative ever since. Last week, average DAP prices at the four locations discussed below fell by an average of 24 basis points week-over-week.
Last week, the weekly price movement was broadly flat to negative. DAP prices at the US NOLA (New Orleans) fell by as much as 96 basis points week-over-week to $282 per metric ton from $285 per metric ton.
Prices were flat at the other three locations in the above chart. At Central Florida, DAP prices remained unchanged week-over-week at $299 per metric ton. Similarly, prices at Tampa Bay remained flat at $353 per metric ton week-over-week. Morocco, which has the largest phosphate rock reserves in the world, saw weekly prices move sideways to $367 per metric ton.
With a lack of movement in DAP prices over the past few months, it isn’t surprising that Mosaic (MOS), which is one of the largest phosphate fertilizer producers, has underperformed the benchmark index (MOO) so far this year. PotashCorp (POT), Agrium (AGU), and Israel Chemicals (ICL) also remain under pressure.
Note that DAP is one of the most popular phosphate fertilizers used globally followed by MAP (monoammonium phosphate), which we’ll discuss in the next part. To learn more about fertilizer types used around the world, read Agricultural Fertilizer Industry: Your Comprehensive Overview.