Fertilizer prices better heading into fall
The director of fertilizer with StoneX Group says supply issues have improved and fertilizer values aren’t bad heading into fall.
“A lot of the motion and worry about getting product is no longer in place.”
Josh Linville tells Brownfield prices are better than last year.
“The Midwest average for anhydrous is in the upper $400/ton compared to $900/ton last year. For DAP in the Gulf of Mexico, it was $750/ton last year and in the last week, we’re at $500. Potash and urea are also lower.”
He says the demand for fall nutrients is mixed and some farmers have already booked fall fertilizer, but others might wait, because the corn to fertilizer price ratio is widening as prices move lower.
“The ratio I’m looking at is New Orleans urea and Chicago corn prices. Local values and ratios will look different because of basis levels, but a few weeks ago the ratio was 53, one of the best ratios since 2018 and today, it’s much higher.”
Linville says farmers should consider booking fertilizer at the current prices.