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MAP Prices Made New Highs Last Week

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MAP prices

MAP (monoammonium phosphate) prices continued to inch higher last week and hit new highs. Prices have continued to rise, indicating a favorable supply-demand environment for MAP fertilizers in the Brazil and NOLA (New Orleans) regions.

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Weekly movements

Last week, MAP prices in the NOLA region rose by almost 1% week-over-week to $412 per metric ton from $408 per metric ton a week ago. Similarly, MAP prices in Brazil rose by 22 basis points week-over-week to $449 per metric ton from $448 per metric ton. MAP prices continued to hit new highs last week, which may indicate that the rationing of supply may be helping prices rise.

For fertilizer companies (MXI) such as Mosaic (MOS), Nutrien (NTR), and Intrepid Potash (IPI), the supply glut has suppressed fertilizer prices and put pressure on profitability in recent quarters.

Yearly movements

Year-over-year, MAP prices remained strong on the back of last week’s upward movement. For example, MAP prices in the NOLA region rose by 27% year-over-year from $325 per metric ton a year ago in 2017. Similarly, MAP prices in Brazil rose by as much as 29% from $348 per metric ton a year ago.

Next, we will look at how potash prices moved last week.

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