For the week ended August 10, MAP (monoammonium phosphate) prices remained firm, mirroring DAP (diammonium phosphate) price movements. The supply-demand conditions for phosphate fertilizers were tight, similar to what CF Industries (CF) indicated about nitrogen fertilizers. Companies (XLB) such as Mosaic (MOS), Nutrien (NTR), and Israel Chemicals (ICL) have managed to control their capacities to contribute to the supply dynamics.
Last week, which ended on August 10, MAP prices in NOLA (New Orleans) rose 48 basis points to $416 per metric ton, from $414 per metric ton in the week ended August 3. DAP prices in NOLA are at their peak since January 16 levels, as you can see in the above chart. On the other hand, DAP prices in Brazil were unchanged week-over-week to $451 per metric ton last week. Prices in Brazil were unchanged week-over-week but were at their peak since January 2016 levels.
Year-over-year, MAP prices showed strength last week. Prices in Brazil rose 31%, and in NOLA, prices rose 28% year-over-year, indicating strength in the overall phosphate market.
Next, let’s take a look at potash prices.