Price of fertiliser tumbles
Drop of €120/t on last year as traders hunt business
Fertiliser prices are down as much as €120/t compared to the same time last year, the latest price survey has revealed.
Credit terms are also favourable for farmers, with many merchants offering to take payment at harvest time for close to cash prices.
Opening prices for CAN have fallen by €115-120/t in the past 12 months, while urea is back by €120/t on 2009 levels.
However, demand for CAN is high across Europe and prices could increase in the short term. One fertiliser manufacturer wrote to merchants on Friday, indicating a €50/t rise in CAN price was imminent.
Spot wholesale prices for bulk CAN late last week were around €195/t but there is currently buyer resistance from farmers across the EU as grain prices remain on the floor.
The best deals for bagged CAN delivered are in the Munster region, at €185/t cash on delivery, while granular urea prices are keenest in the northern half of the country.
Without doubt, the best value for money is for urea, at an average of 63c/kg of nitrogen, compared to CAN at 75c/kg.
Prices for both urea and NPK compounds are expected to remain stable.