By Ryan Hanrahan
Agri-Pulse’s Kim Chipman, Grace Miller, and Noah Wicks reported that “price indicators for key farm inputs tumbled on Monday following news of the U.S.-Iran preliminary peace deal. The value of urea at New Orleans, a benchmark for North American nitrogen fertilizer, fell about 5% from Friday, or roughly $20, according to Josh Linville, vice president of fertilizer for StoneX. That marks a 53% drop from a high earlier this spring, he says.”
But RFD-TV’s Tony St. James and Marion Kirkpatrick reported that “the price break does not fully solve the farm-cost problem. Linville says today’s urea-to-corn ratio is still 83.5 bushels of corn needed to buy one ton of urea.”
“Phosphate could face more downside if sulfur, ammonia, and Saudi phosphate exports resume. Without price relief, Linville expects phosphate demand to weaken sharply in the fall,” St. James and Kirkpatrick reported. “Potash summer fill programs changed little, but lower grain prices made those values look less attractive. Farmers may need to weigh fertilizer cuts carefully against yield risk.”
Source : illinois.edu