Fertiliser quotes under pressure

The differential in fertiliser price quotes has widened significantly in recent days. The lower-than-expected usage of fertiliser and expectations that wholesale prices are set to fall over the coming weeks has stoked up a price war.

Wholesale ammonium nitrate prices have fallen by €53/t since mid-March, leading experienced buyers to believe that CAN prices have considerable scope to fall further.

There is fierce competition among the larger co-ops to move stocks.

According to the recent IFA survey, CAN is being bought for as low at €300/t in the northeast, but up to €360 is still being quoted.

Bulk CAN was bought for €285 to €290 in the northeast this week; 18:6:12 is making from €410 to €460/t. 27:2.5:5 is making from €405 to €450/t and 24:2.5:10 from €415 to €460/t.

“Competition for this business has been intense, as a number of the major players compete head on for it,” said IFA inputs team leader James McCarthy.