Farmers have reported that protected urea has been difficult to purchase of late as merchants are most likely being cautious about the fertiliser they buy in.

Prices of all products remain high as demand has increased, with rising grain prices and prices of raw materials and gas used in fertiliser production remaining high.

At present, merchants and co-ops here are running out of old stock to cushion prices and are looking at prices of approximately €440/t for urea, €315/t for CAN and well over €500/t for 10-10-20, while 18-6-12 is coming in at approximately €460/t.

These prices are before merchants add handling costs and balance prices off old stock, if it is available.

As prices remain high, some buyers here at home have indicated they will step away from the market due to what they perceive as inflated prices which have reached exceptional highs.

A recent report from Independent Commodity Intelligence Services (ICIS) stated: “A downward correction can be expected after record price increases.”

However, this decline is expected to be shortlived as requirements will need to be covered.

Deepika Thapliyal, a senior editor manager at ICIS who compiled the report, noted that the startup of new nitrogen plants was unlikely to impact the market until 2022.

Buyers were also reported to be holding off on phosphate purchases while supplies are tight and prices are high.