European NPK prices are expected to rise

There was a bullish sentiment in the European market last week. Buyers in Eastern Europe generally expect prices for high-phosphorus and high-potassium products to rise as more autumn demand is expected in the coming weeks. And Russia, the main supplier in the region, is satisfied. Price checks have begun, but many manufacturers have not yet quoted NPKS. The stocks that are on sale have signaled a price increase. Negotiations may begin at the end of this month.

 

The price of Morocco's 15-15-15 also rose by $10/ton to FOB$265-270/ton this week. The price of 15-15-15 in Russia is currently stable at $270-275 / ton FOB, mainly because the price index of this ratio is not available in the market.

 

In other respects, Cotontchad is considering switching to NPK 14-14-18+6S+1B next year, similar to Intercoton in Ivory Coast, which will increase West Africa's demand for this to 200,000 tons/year. Currently, it is the main NPK for Burkina Faso and Mali cotton. Elsewhere in Africa, it is reported that Zambia has announced the tender for a 150,000-ton NPK 10-20-10+6S.

 

Market driven

 

1. Ukraine may impose tariffs on Russian fertilizers

 

Kiev (the capital of Ukraine) announced that it will impose special tariffs on all goods from Russia from August 1st. It is rumored that in addition to the existing tariffs, it is possible to impose 5% tariff on chemical fertilizers.

 

2. In the next few weeks, the purchase of NPK will appear in Europe.

 

High-phosphorus fertilizers and high-potassium fertilizers used in autumn have already begun to be quoted, and prices may rise as more demand emerges.

 

30-60 days expected

 

Russia is expected to announce an increase in prices for the European market in the coming weeks. But weak demand in the east continues to put downward pressure on prices.