Traders are now close to fulfilling and meeting deadlines for the supply of Urea to the latest India tender. Monsoon in India is reported to be 32% less than normal thus fertilizer consumption will be affected.
Dual Urea pricing in Brazil may soon come to an end with Iranian ships facing fueling problems on back haul corn cargoes to Iran. The Brazilian president has warned that anyone assisting Iran may face legal issues.
Urea prices may soften in the weeks ahead due to holidays, drought in SE Asia, import liberalization of sugar and rice in the Philippines which may reduce consumption by up to 30%. Drought in Thailand will also affect consumption of fertilizers. European demand as well as demand from the USA weak.
Processed phosphate prices like DAP and MAP continue to lessen yet export discipline in P.R. China may assist in stabilizing prices.