Limited DAP sales continue to drive prices down

摘要

Prices continue under downward pressure, with global demand remaining at disappointing low levels. As producers and traders compete for business, netbacks continue their downtrend despite a stable freight market in recent weeks. The Tampa price has fallen to $320/mt FOB from $380/mt FOB in mid March, with market sources anticipating the benchmark to fall below $300/mt FOB mark within the next few weeks. While slow overseas sales (outside of India) were expected, suppliers have been stung by the lack of movement in the US so far. DAP applications could spike when corn planting gets underway in earnest over coming weeks. However, the delays in inland activity so far are fuelling fears that farmers will increasingly turn to beans this spring. While corn versus soybean shifts typically do not account for more than a few percentage points in total acreage this late in the season, resellers said they are more concerned than usual because of the oversupply situation of phosphates in the US.