Full Privacy & Non-Discrimination Statements. That said, anhydrous ammonia prices have fallen the most (-22%), while urea (-8%) and liquid 28% (-10%) have seen smaller adjustments. 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. In 2020, this example fertilizer rate would cost $95 per acre, a $20 per acre reduction from 2019 spring prices (-17.6%). Compared to prices last spring -the average of prices reported in April and May- anhydrous ammonia prices are down 22% and DAP 17% lower. Figure 5. Jan. 2015 – Sept. 2019. Data Source: USDA AMS. In recent weeks, the price ratio reached an average of 1.39 in September, meaning urea prices are historically high relative to anhydrous ammonia. As 2020 comes into focus, fertilizer will likely be a great source of uncertainty and variability in crop budgets. For producers with the ability to use alternative sources of nitrogen fertilizer, it is important to keep the relationship of nitrogen prices in mind. Learn more about this ‘A++’ (Superior) Ranked Insurer. 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. This compares to our 5-year average of 599.01 for this week. Chart created by Agriculture Economic Insights. 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. Fertilizer prices have fallen from their highs during the farm economy boom. DAP prices increased slightly m/m. We are offering anhydrous ammonia of purity ranging Fertilizer prices dramatically increased last Spring. Anhydrous ammonia has a clear cost per unit advantage when considering only the nitrogen. Anhy-drous ammonia price advantages can vary but the average difference is about $0.12 per pound of N over the cost of urea. Estimated price was $185 per ton below the actual price in 2014, $203 per ton in 2015, and $103 per ton in 2016. Only briefly, in … Figure 3, which considers the price per pound of nitrogen applied, shows the prices of urea and liquid 28% relative to anhydrous ammonia. This price advantage of anhydrous ammonia over urea can vary somewhat as shown … Across the board, lowered fertilizer prices are observed. 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 … The $10 per acre in nitrogen savings can vary. In most cases, fertilizer prices are at or near their lowest levels in more than a decade. Data Source: USDA AMS and aei.ag Calculations. 2020. The price relationship for liquid 28% (in red) has also jumped in recent weeks. Global ammonia prices weakened in May as the market continued to suffer from oversupply. Potash prices reached lows of $300 per ton in 2016. Our products. Potash prices, for example, climbed from $300 per ton to nearly $400 per ton in 2019. Right now, prices for urea, phosphate, and anhydrous ammonia (nitrogen) are inside the lower third of the five-year average price range. ICIS offers reports on over 180 commodities across the global petrochemical, energy and fertilizer markets. Downstream fertilizer demand and consumption by chemicals users is expected to remain steady for the remainder of the year. To do this, we estimate the per acre expense of an example corn rate of 180-70-70 [1] using spring prices (Figure 4). Previously, the low of $97 per acre was observed in 2017. Ammonia prices fell primarily due to lower natural gas costs. Potash prices fell to $300 per ton in late 2016, while DAP nearly hit $400 per ton in early 2017. In recent weeks, fertilizer prices have sharply declined. August and September fertilizer prices confirm expectations of rising fertilizer costs for 2019. Only briefly, in late 2017, did prices fall to $400 per ton. In accordance with Federal law and U.S. Department of Agriculture (USDA) civil rights regulations and policies, the USDA, its Agencies, offices, and employees, and institutions participating in or administering USDA programs are prohibited from discriminating on the basis of race, color, national origin, religion, sex, gender identity (including gender expression), sexual orientation, disability, age, marital status, family/parental status, income derived from a public assistance program, political beliefs, or reprisal or retaliation for prior civil rights activity, in any program or activity conducted or funded by USDA (not all bases apply to all programs). Most recently, prices have been closer to $400 per ton. Potash prices have also declined (-5%). Anhydrous Ammonia Fertilizer vs. … In most cases, fertilizer prices are at or near their lowest levels in more than a decade. Settings for cookies can be changed at any time within your browser. DAP prices have fallen the most, down 22% (Figure 2). While demand from India increased at a … That was when fertilizer expense was nearly $160 per acre. Jan. 2015 – Sept. 2019. More broadly, 2020 will likely be the lowest corn fertilizer expense in more than 10 years. As a result of anhydrous ammonia prices falling sharply in recent weeks, urea and 28% prices are historically high relatively to anhydrous. Change in Reported Illinois Fertilizer Prices, March 2020 compared to April-May 2019. Set Corn and Nitrogen Prices Anhydrous Ammonia (82% N) UAN (28% N) UAN (32% N) Urea (45% N) Ammonium Sulfate (21% N) Nitrogen Price The $504 per ton price in 2016 results in a nitrogen fertilizer costs of $52.24 per acre. Phosphate (P) supplies are being aided by new technologies to extract previously unavailable phosphate. Winter Solstice Weather Outlook: Moisture Headed to the Southern Plains? Global Anhydrous Ammonia Fertilizer Market: Regional Analysis. Date HS Code Description Origin Country Port of Discharge Unit Quantity Value (INR) Per Unit (INR) Nov 21 2016: 28141000: FULLY REFRIGERATED ANHYDROUS LIQUID AMMONIA [GOODS IMP BY USFOR MFG OF FERTILIZER) Ammonia news and market information products from ICIS. Ammonia Prices NH3 commercial or fertilizer grade (99.5% minimum purity, maximum water content of 5000ppm); refrigeration grade (99.98% minimum purity, maximum content of 150ppm); and metallurgical grade (99.99% minimum purity, maximum water content of 33ppm). In September, the price ratio was 1.54, above the long-run average of 1.36. Illinois Production Cost Report (Bi-weekly) Production costs items state wide: cash prices bulk, FOB distributor, per ton unless otherwise stated. NOLA UAN 32% barge prices were reported at $165-$170/t FOB at the end of March, down $10 from late February. Click here to subscribe to AEI’s Weekly Insights email and receive our free, in-depth articles in your inbox every Monday morning. This week’s post reviews the latest fertilizer price data. Alibaba.com offers 823 anhydrous ammonia fertilizer price products. The main application of Ammonia is in nitrogen fertilizers, followed by the synthesis of nitric acid. For this, we assumed the nitrogen source was anhydrous ammonia. “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. Figure 3. About 0% of these are Nitrogen Fertilizer. More recently, prices are again around $500 per ton. In 2019, the spring price equated to an expense of $120 per acre – the highest since 2015 but well below 2011-2013 levels. 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). Of course, many factors have changed since 2012 and 2013; expanded U.S. fertilizer production and lower energy prices being key. 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. Prices are 27% higher than last year. Also included is the expense using the average prices in September 2019. Urea’s relative price (in blue) is an average of 1.22. 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