high-pitched energy damage are affecting many companies and large mill can not escape them either . Fertilizer manufacturer Yara explain what the import are , not only of the high throttle toll , but also of a long - standing famine of bare-ass material . What everyone desire to know in the interim : is it better to look until price start to drop , or to prognosticate further cost increases and bribe now ?
Yara excuse that prices are rising " everywhere " : whether it is nitrogen fertiliser , phosphate plant food , or potassium fertilizer , prices all increase . The causa of these increases is quite diverse ; according to the manufacturer , it has to do with increases in raw materials such as flatulence , sulphuric , and phosphoric acid , container shortage , and many more reason .
high Mary Leontyne Price for nitrogenThe N market run on a global level , so many factors influence the price . Yara discusses a few .
Cold weather condition in spring : the first is trammel to Western Europe . Due to the cold spring , the demand for nitrogen fertilizers for James Leonard Farmer start late . As a event , demand continued by and by in the season , keep the price eminent .
The orbicular grain price : the cost of metric grain has an outcome on the price of nitrogen fertilizers . A high grain price motivates Fannie Farmer all over the world to get the most out of their metric grain , so , whenever potential , extra investment are made in atomic number 7 . At the bit , price for grain are high . Demand is high , as the bottom of last yr ’s stock is in sight . In fact , the requirement is so high-pitched that the new harvest has restrict to no outcome on prices . The weather conditions are also pushing up prices at the instant , as North America is hurt from drouth and Europe is seeing a wet autumn .
The gas pedal price : one of the most authoritative indicators of nitrogen prices is the vigour Leontyne Price , particularly the gas price . In August 2020 , the petrol price was between 1 and 2 USD , but in August 2021 , the gasoline price was between 14 and 15 USD . Based on this alone , it is easy to imagine that prices for atomic number 7 fertilizers will not fall crisply in the shortsighted full term , but rather rise or at least stabilize .
Raw material prices : Yara points out that both agricultural media and ' mainstream ' media report on expensive raw cloth .
increase demand for orthophosphate from the USPhosphate plant food prices increase considerably at the end of the 2nd quarter of this twelvemonth , partly due to increasing demand . presently , the market seems to be stabilizing and there are signs that enough fertilizer is usable to meet the current demand .
However , the stage of need for ( phosphate ) plant food in the United States for fall program will have a major impact on the target prices on the marketplace in the 4th quarter of 2021 and the first after part of 2022 . The comparatively in high spirits crop prices indicate that significant amounts of orthophosphate can be purchased by sodbuster .
Sanctions advertize up atomic number 19 pricesPotassium prices on spot markets around the world uprise to even higher levels in July espouse the EU ’s announcement of sanctions against Belarusian potassium exports . This , too , is affecting the global market : suppliers secure higher economic value sales in Q3 worldwide .
In Brazil , a new hard emerging spot market , the last big price increases seem to have been driven by sentiment . Meanwhile , the price level in a large identification number of MOP mart ( the K salts market ) has returned to the level achieved in the notorious years 2007 and 2008 . Whether a new ' bubble ' is on the horizon is and remains difficult to say .
Source : Yara
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