Urea prices regained strength last week, recording an increase of €10/t to reach €392.50/t ex-Port. This surge results from the announcement of two new calls for tenders. Despite a context where trade remains limited at the end of the year, this supports prices in the short term.
The nitrogen solution is also under tension. European producers face high production costs, made worse by the price of natural gas. Although the latter has fallen to €40/MWh, its lowest level in a month, difficulties persist. Some manufacturers have increased their prices, increasing the tension on the market. The return to purchases by producers at the start of the school year could also encourage the continuation of the current rise in prices.
For ammonitrate, tensions are especially visible in certain European countries. In France, the repercussions are currently limited with more comfortable stocks. However, prices could follow the same trend in the coming weeks.
Internationally, Russia inaugurated its first ammonia maritime terminal in Ust-Luga. This opening aims to circumvent Western sanctions by developing new export routes, after the loss of access to the Baltic and the pipeline linking Togliatti to Odessa.
Finally, the phosphate market remains calm with little development.
Farmers will nevertheless have to remain vigilant: the prices of nitrogen fertilizers could still change at the start of the year, depending on tensions in the growing supply.
