skip to Main Content

AMIS: Fertilizer Prices Down More Than 40% Since Last Spring; “Significant Price Declines” Continue, DTN

In its February Market Monitor report, the Agricultural Market Information System (AMIS) indicated that, “Fertilizer prices have declined by more than 40 percent since hitting record (nominal) highs last spring, especially due to recent drops in natural gas prices and fertilizer plants reopening in Europe.

AMIS Market Monitor. No. 105 (February 2023).

Though prices remain almost twice the level of two years ago, this development is welcome news for producers making input purchases this spring and should improve profitability margins for many crops. With the price decline most prominent for nitrogenous fertilizers, this could make nitrogen-intensive crops such as wheat and maize more attractive planting choices than they were last spring.

AMIS Market Monitor. No. 105 (February 2023).

“Lower prices could also encourage higher application rates, particularly in developing countries where fertilizer use is relatively low and where recent high prices have further reduced application rates.”

AMIS Market Monitor. No. 105 (February 2023).

Also this week, DTN writer Russ Quinn reported that, “Retail fertilizer prices continue to see significant price declines, according to prices tracked by DTN for the fourth week of January 2023. This trend has been in place since the beginning of the year.”

Quinn explained that, “Leading the way lower is UAN28. The nitrogen fertilizer was 9% lower in price compared to last month and had an average price of $523/ton.

“DTN Retail Fertilizer Trends,” by Russ Quinn. DTN- Progressive Farmer (February 1, 2023).

Potash, anhydrous and UAN32 were 7% less expensive looking back to last month. Potash had an average price of $714/ton, anhydrous $1,237/ton and UAN32 $630/ton.

Urea was 6% lower in price compared to the prior month. It had an average price of $708/ton.

Both DAP and MAP were slightly lower looking back to last month. DAP had an average price of $855/ton while MAP was $865/ton.”

Illinois Production Cost Report. USDA- Agricultural Marketing Service (January 26, 2023).

The DTN article added that, “All fertilizers are now lower compared to one year ago. DAP is 3% lower, both MAP and 10-34-0 are 8% less expensive, UAN32 is 10% lower, potash is 12% less expensive, UAN28 is 13% lower, anhydrous 17% less expensive and urea is 22% lower compared to a year prior.”

Keith Good Photo

Keith Good is the Farm Policy News editor for the farmdoc project. He has previously worked for the USDA’s National Agricultural Statistics Service, and compiled the daily News Summary from 2003-2015. He is a graduate of Purdue University (M.S.- Agricultural Economics), and Southern Illinois University School of Law.

Back To Top