Urea
Domestic growers and retailers are not actively buying granular urea because of planting, and there is enough supply to cover this application.
Argus last assessed granular urea at A$1,380-1,400/t fca Geelong.
Suppliers will need to secure tonnes for the next round of domestic demand starting around June, but there are concerns about the ongoing disruptions of the Strait of Hormuz and softening international free on board (FOB) prices.
There are 313,000t of urea in transit to Australia, vessel tracking data from Kpler show.
Phosphates
Australian suppliers are reporting little domestic demand for MAP/DAP as is seasonally expected. Although there is not much interest, there are concerns about securing more tonnes for the summer crop later in the year, as global supply is limited.
China typically re-enters the export market around May when Australian suppliers seek smaller cargoes for summer crop demand, but it is currently unclear when China will resume exporting.
Australia secures 90,000t of urea via government scheme
Australia's federal government has secured 90,000t of urea across three cargoes under its underwriting scheme to support fertiliser imports in response to tight domestic and global supply.
The government is working with fertiliser distributers, Incitec Pivot and CSBP, to import the 90,000t of urea through Export Finance Australia (EFA), the Minister for Agriculture, Fisheries and Forestry, Julie Collins said on 13 May. The timeline for delivery of the cargoes was not disclosed. A further 38,500t of urea was announced through the EFA scheme on 19 May.
Australia's Phosphate Hill MAP/DAP output falls in 1H
Australian energy and resources company Mayfair saw MAP/DAP production at its Phosphate Hill facility fall by 9 per cent on the year to 272,800t in the financial half year to 31 March 2026, given that flooding and supply chain disruptions affected output, the previous owner of the mine Dyno Nobel said on 11 May.
Dyno Nobel's MAP/DAP sales increased by 7 per cent on the year to 285,500t in the half year, the company said.
Commentary and pricing supplied by Argus Media
Disclaimer: The information provided in this report is general in nature and is intended for informational purposes only.