DAP (diammonium phosphate) prices have enjoyed slow but upward trending momentum, giving a much-needed positive signal for investors (MOO) in phosphate producers such as Mosaic (MOS) and Nutrien (NTR) (POT) (AGU). Let’s look at how phosphate prices performed last week.
Contrary to the trend we’ve seen for DAP so far this year, last week’s prices at most of the above locations fell over the previous week’s level. For example, in Morocco, DAP prices fell ~1.2% week-over-week to $414 per metric ton, while prices in China fell by 24 basis points to $412 per metric ton over the same period. In India and Saudi Arabia, DAP prices were broadly flat week-over-week.
In all of the North American locations, DAP prices were broadly lower. For example, in Central Florida, DAP prices fell by 77 basis points to $349 per metric ton, while prices in NOLA (New Orleans) fell by 52 basis points to $346 per metric ton. In Tampa, DAP prices fell by 25 basis points over this period to $407 per metric ton.
When we compare these levels to a year ago for each of the respective locations, last week’s prices remained higher year-over-year. For example, in China and India, DAP prices rose 18% year-over-year. In Saudi Arabia prices were up 17%, and in Morocco, prices were up 12%. In North America, DAP prices in NOLA, Central Florida, and Tampa were up 24%, 17%, and 15% year-over-year, respectively.
Next, we’ll discuss MAP (monoammonium phosphate) prices.