Fertilizer prices have fallen from their highs during the farm economy boom. Furthermore, corn production in 2012 and 2013 was being pulled by strong usage and higher prices (here and here). Full Privacy & Non-Discrimination Statements. Alibaba.com offers 823 anhydrous ammonia fertilizer price products. USDA is an equal opportunity provider and employer. Illinois Production Cost Report (Bi-weekly) Production costs items state wide: cash prices bulk, FOB distributor, per ton unless otherwise stated. Anhydrous ammonia prices, for example, are currently around $500 per ton, but were closer to $600 per ton last year. Chart created by Agriculture Economic Insights. Another way of considering fertilizer prices is the expense associated with a 180-70-70 fertilizer rate. The costs of 207 pounds of anhydrous ammonia is $41.88 per acre when a $404 per ton anhydrous ammonia price is used to represent 2017 prices. Only briefly, in late 2017, did prices fall to $400 per ton. By the end of March, the most recent data, prices fell to an average of $1.74 per gallon. This price advantage of anhydrous ammonia over urea can vary somewhat as shown … The costs savings for anhydrous ammonia then is $10.36 per acre. In recent weeks, fertilizer prices have sharply declined. To do this, we estimate the per acre expense of an example corn rate of 180-70-70 [1] using spring prices (Figure 4). For this, we assumed the nitrogen source was anhydrous ammonia. Product Offer Average Change Anhydrous ammonia 400.00-552.00 475.58 UP 25.08 Urea 46-0-0 350.00-375.00 365.00 UNCH Liquid Nitrogen 28% spread 192.00-245.00 221.93 UP 3.43 DAP(Diammonium … As 2020 comes into focus, fertilizer will likely be a great source of uncertainty and variability in crop budgets. Urea’s relative price (in blue) is an average of 1.22. Finally, current DAP prices are nearly $400 per ton, the lowest prices observed since 2010. – also impact producers’ decisions on which source to use. Liquid (28%) Fertilizer (Two rates of each)-Corn Mick Minchow Private Industry Cooperator: Mike Williams-OBJECTIVE: To determine and document the profitability of anhydrous ammonia fertilizer versus Liquid (28 %) fertilizer at two application rates. Anhydrous Ammonia Fertilizer vs. Most recently, the average September prices were an expense of $99 per acre. The $10 per acre in nitrogen savings can vary. Figure 5. U.S. producers are positioned to plant the second-largest corn crop in modern history, but you wouldn’t notice by glancing at fertilizer prices. In early 2020, farm diesel prices were $2.50 per gallon before sliding to $2.25 per gallon by the end of February (figure 5). The Iowa Average Propane and Diesel Fuel Prices graph also shows a steady decline in farm diesel fuel prices to the current Iowa average price of $1.39, and propane price per gallon holding … While demand from India increased at a … This is large price swing. Fertilizer prices per unit of actual N for select-ed fertilizers are shown in Figure 1. “The model to predict anhydrous ammonia prices is based on a nine-month lag in oil prices.” Considering some higher oil prices from 2018 still have to show up in the model, fertilizer prices may not start to decline for a few months yet and may actually increase a little, he added. Most recently, prices have been closer to $400 per ton. Cattle on Feed Catch Up to 2019; Likely to Tighten in 2021, Prepare for Surging Feed Costs in 2021 — Economist, Holiday Wishes from the ProAg Team to Yours. Data Source: USDA AMS. In addition to internationally traded fertilizer prices, we provide extensive US inland fertilizer prices and coverage of Chinese inland prices. Global ammonia prices weakened in May as the market continued to suffer from oversupply. Fertilizer outlook Ammonia prices recovered last month, especially in Europe. An ag economist says fertilizer prices have decreased significantly since spring with anhydrous ammonia leading the drop. Figure 2. The price stabilization followed a slight seasonal increase of 1.2% reflected spring planting demand. All forms of nitrogen fertilizers were at least 10% lower. While the ratio has moved in recent weeks by the large drop in anhydrous prices, it is never clear how the price ratio will adjust moving forward. So far, anhydrous ammonia prices are close to $80 per ton higher for 2019 production as compared to 2018 production. NOLA UAN 32% barge prices were reported at $165-$170/t FOB at the end of March, down $10 from late February. More specifically, the sharp price decline in anhydrous ammonia warrants a look at relative prices. We use cookies to provide you with the best experience and functionality on our website. Reported Illinois Fertilizer Prices, April-May 2019 and March 2020. By 2017, this fell to $101 per acre. More broadly, 2020 will likely be the lowest corn fertilizer expense in more than 10 years. ProAg is an equal opportunity provider. Demand for fertilizer typically dips in the fall, but nutrient prices have been driven lower than normal. Anhydrous ammonia is a highly effective fertilizer that helps farmers feed our growing population and replenish nutrients in the soil. Nitrogen. Phosphate (P) supplies are being aided by new technologies to extract previously unavailable phosphate. Permalink. Global Anhydrous Ammonia Fertilizer Market: Regional Analysis. 2020. Our Nutrient Composite Index (NCI) firmed 2.10 points this week to 530.28. Compared to prices last spring -the average of prices reported in April and May- anhydrous ammonia prices are down 22% and DAP 17% lower. Whether future fertilizer prices remain low hinges on supply and demand, he adds. We offer the following regional Ammonia analysis and news coverage to keep you informed of factors and developments affecting prices in the US Ammonia marketplace. Across the board, lowered fertilizer prices are observed. For producers with the ability to use alternative sources of nitrogen fertilizer, it is important to keep the relationship of nitrogen prices in mind. DAP prices increased slightly m/m. The report includes country-wise and region-wise market size for the period 2015-2026. Fertilizer prices dramatically increased last Spring. USDA data shows anhydrous ammonia prices in Illinois went from $500 per ton to $600 per ton at the beginning of 2019. From 1984 to 2013, actual and estimated ammonia prices follow each other, indicating that changes in anhydrous ammonia prices followed changes in corn and natural gas prices. Data Source: USDA AMS. Data Source: USDA AMS. Jan. 2010- March 2020. With fieldwork and spring planting getting underway, lower fertilizer prices are a welcome improvement. [1] Anhydrous ammonia was the assumed nitrogen fertilizer. August and September fertilizer prices confirm expectations of rising fertilizer costs for 2019. Our Nutrient Composite Index firmed 2.93 points to 606.18. Data Source: USDA AMS and aei.ag Calculations. Will fertilizer prices go higher, again, at the prospects of even larger 2020 corn acreage? By continuing to use the site, you are agreeing to our use of cookies. The last time the U.S. planted more than 95 million acres of corn was in 2012 and 2013. Of course, many factors have changed since 2012 and 2013; expanded U.S. fertilizer production and lower energy prices being key. This will be another improvement in 2020 crop budgets, but also a reflection of the challenges faced by renewable fuels. While prices are near – or at- their lower levels in a decade, it can be helpful to consider the implication on a per-acre basis. One of them will be the perspective of a 97 million-acre corn crop – one of the largest in modern history- with some of the lowest fertilizer prices in a decade. Compared to last spring, reported farm diesel prices are 71 cents per gallon lower, or down 27%. The insurance products described by Producers Ag Insurance Group® and its subsidiaries (“ProAg®”) may not be a complete list of all products offered and may not be offered in all states. Nitrogen Nitrogen prices were mostly higher with anhydrous ammonia once again leading gains. Furthermore, current prices reflect the lowest fertilizer expense observed in more than a decade. As producers updated their 2020 crop budget, low fertilizer prices were a welcomed improvement. Potash prices, for example, climbed from $300 per ton to nearly $400 per ton in 2019. CRU's Prices service for fertilizers updates key price assessments every Thursday, covering urea, nitrates, ammonia, phosphates, potash, sulphur and sulphuric acid in one offering. Anhydrous Ammonia. Kansas fell $7.27 to lead declines with Minnesota and Illinois each off around 50 cents per short ton. Learn more about this ‘A++’ (Superior) Ranked Insurer. Potash prices have also declined (-5%). Speak to ICIS . To file a complaint of discrimination, write: USDA, Office of the Assistance Secretary for Civil Rights, 400 Independence Avenue, SW, Washington, DC 20250-9410 or call (866) 632-9992 (Toll free Customer Service), (800) 877-8339 (Local or Federal relay), (866) 377-8642 (Relay voice users). You can also click here to visit the archive of articles – hundreds of them – and to browse by topic. Since the 2016-2017 lows, prices have trended higher. Figure 4 shows the average spring expense of this fertilizer rate since 2010. Lower fertilizer expenses for corn production also limited soybeans’ appeal in 2020. CF dropped its river terminal prices at Cincinnati, St. Louis, and Mt. Anhydrous ammonia, which peaked at nearly $900 per ton in 2013, has spent considerable time in recent years around the current levels ($500 per ton). Anhydrous ammonia has several advantages, including its relatively easy application and ready availability. Be among the first to learn about the ever-changing crop insurance industry by subscribing to the ProAgMessaging system. Anhydrous ammonia was the sole decliner in our 12-state survey this week. Anhydrous ammonia prices are currently around $850 per ton, with uncertainty about prices in the spring of 2013. Vernon by $20 in March, bringing them to $190/t FOB. Prices are 27% higher than last year. This week’s post reviews the latest fertilizer price data. Prices remained mostly unchanged until late summer. Anhydrous ammonia has a clear cost per unit advantage when considering only the nitrogen. , nitrogen fertilizer production capabilities mayl be increased, leading to downward pressure on nitrogen prices, Urea/NH3 28! 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