Despite a price drop last June, the prices of nitrogen fertilizers are on the rise due to limited supply.
Southeast Asia and North Africa have less availability, and the increased price of gas used in the manufacturing of these fertilizers is driving up the final costs:
– Urea: €440/ton (€302/ton in June)
– Ammonium nitrate: €453/ton (€322/ton in June)
– Nitrogen solution: €287/ton (€225/ton in June)
Additionally, concerns about Russian supply have arisen following the deterioration of the Togliatti-Odessa ammonia pipeline.
Meanwhile, Egypt has reduced the energy supply to its fertilizer plants, leading to decreased production.
French farmers interviewed by Terre-Net confirmed that they are still better supplied this season compared to the previous one.
Josh Linville, who works for StoneX, a platform connecting businesses, traders, and investors, stated that the cost evolution will depend on industrial demand as well as international policy.