Contrary to DAP (diammonium phosphate) prices, which remained broadly flat last week, as we discussed in the earlier part of this series, MAP (monoammonium phosphate) prices were broadly higher in NOLA (New Orleans) and Brazil.
In the NOLA region of the US, while the DAP prices were flat last week, MAP prices rose by ~27 basis points to $376 per metric ton from $375 per metric ton. Similarly, MAP prices in Brazil also rose ~23 basis points week-over-week to $429 per metric ton from $428 per metric ton a week ago.
Year-over-year, MAP prices at both the locations also remained strong with prices in the NOLA region rising as much as 23% from $305 per metric ton. In Brazil, prices were broadly higher year-over-year by ~15% from $372 per metric ton.
MAP prices remain strong in both markets especially in Brazil, which has been a hot spot for agribusiness activity for companies (NANR) including Mosaic (MOS), Nutrien (NTR) (POT), and CF Industries (CF).
The higher prices for fertilizer commodities have been fueled by the rationing of supply, which had pressured global prices in recent years and forced companies to adapt to lower cost structure or curtail production altogether.
Next, we’ll discuss prices for potash fertilizers.