Nitrogen
Overview
The ease of urea availability east and west of Suez has shaped the current trade flows of this key nitrogen fertilizer. Despite challenges posed by energy prices and military conflicts, key import markets such as India, Australia, and Latin America remain robust. But structural oversupply and the role of China as a swing exporter have led to price volatility as this fast-moving market seeks equilibrium, more so during seasonally high-demand periods.
Our extensive nitrogen coverage includes prilled and granular urea, UAN, ammonium nitrate, and ammonium sulphate. Argus has many decades of experience covering the nitrogen market and incorporates our multi-commodity market expertise in key areas including ammonia and natural gas to provide the full market narrative.
Argus support market participants with:
- Daily and weekly nitrogen price assessments, proprietary data and market commentary
- Short and medium to long-term forecasting, modelling and analysis of urea prices, supply, demand, trade and projects
- Bespoke consulting project support
Latest nitrogen news
Browse the latest market moving news on the global nitrogen industry.
Egypt’s NCIC issues fertilizer sales tender
Egypt’s NCIC issues fertilizer sales tender
London, 22 July (Argus) — Egyptian fertilizer producer NCIC has issued a tender to sell 50,000t of fertilizers for loading by the end of August, closing on 26 July. The breakdown of the products offered is as follows: 30,000t of DAP 10,000t of TSP 5,000t of CAN 27 5,000t of urea The cargoes will be sold on fob basis. NCIC wants buyers to pay 30pc in advance, 40pc two days before the shipment date and 30pc in cash against documents. If paying through letters of credit, buyers can pay 30pc in cash in advance and the remaining 70pc by letter of credit. NCIC did not issue a tender to sell July-loading product. It reported selling 40,000t of DAP at $562/t fob and 30,000t of TSP at $435/t fob under its tender to sell June-loading product at the end of May. Since then, Egyptian DAP prices have risen to $610-620/t fob. NCIC reduced its DAP production rates to 80pc capacity last week because of low gas supplies. It had resumed DAP production earlier this month. Argus assessed TSP prices in Brazil at $505-515/t cfr last week, netting back to the $480s/t fob up to the low $490s/t fob Egypt. NCIC sold 5,000t of urea at $362/t fob and a further 5,000t at $367/t fob, reported last week . Argus understands NCIC stopped producing urea last week. There has been no indication that production has resumed. By Tom Hampson Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
EU fertilizer industry calls for support: Q&A
EU fertilizer industry calls for support: Q&A
London, 17 July (Argus) — As the EU gears up to install a new European Commission for 2024-2029, LAT Nitrogen's chief executive officer Leo Alders tells Argus political support remains necessary to tackle a range of challenges threatening EU industry, including subsidised US ammonia production with carbon capture, use and storage (CCUS), and the EU's 'unrealistic' goal of cutting net greenhouse gas (GHG) emissions by 90pc by 2040. But Alders sees growing political "goodwill" to help EU industry against cheap fertilizer imports from Russia, which are used to fund the country's war against Ukraine. Edited highlights follow. What does the fertilizer industry want from the next European Commission? Clear points are effectively releasing emissions trading system (ETS) funds for converting the industry to green fertilizers. We also want carbon sequestration to be allowed as it is in the US. And we need a policy on nutrient efficiency, which has never really happened. For us, too, spillage is not the desired objective. The international context, too, is important. Grey ammonia produced in Europe could move to the same cost levels as US blue ammonia with subsidised CO2 sequestration. If or when that happens, then Europe will see massive imports of US blue ammonia. We think that by 2027 or 2028, volumes coming out of the US will grow exponentially. That's a trend that we think is unstoppable. The underlying issue, of course, is that energy in Europe is at higher price levels than on any other continent. We need to stay in Europe with our production capacity. But the threat is there. Are 90pc GHG cuts by 2040 feasible for you? When discussing the ETS measures, the carbon border adjustment mechanism, and so on, we took a positive approach as an industry. And we go alon g with the zero [carbon] target for 2050. That's all right. But now the [2040] target is not official, more a desired milestone that emissions will be cut by 90pc by 2040. As an industry, we think that target is totally unrealistic and cannot support it. That's a clear point of view. Converting to a green industry will require massive capital. Technologically, it takes time to do all of this. Is the ETS working well for the fertilizer industry? Proceeds from ETS certificates go partly to national budgets and partly to the EU budget. That's all nice. But our industry needs to invest massively to complete the transition. We pay massive amounts of money for CO2 certificates. There was the promise that national and EU levels would subsidise decarbonisation projects from the ETS. In reality, we've seen very few subsidies materialising. So we actually have a counter-proposal: why not allow the industry to park the money for green investments? In theory, the national level is obliged to reinvest 50pc of ETS income back into the industry. The reality is different. Isn't the EU still wary of prohibitive €100-150/t tariffs on Russian fertilizers? A ban on Russian fertilizer imports would require unanimity. Tariffs, though, require majority support among EU states. That seems feasible. At least 15 states appear to support the idea. There is actually no supply issue. We don't have any issues replacing Russian volumes. There may be a possible time element and rebalancing in the first three or four months. But after that, the European industry would be fully capable of supplying our farms. So political support is growing? More and more people understand how Russian gas is being transformed into fertilizer. They've understood that routing gas to Europe is becoming more and more difficult. The EU has been totally unsuccessful in pushing back against Russian urea, so Russia is building some 650,000 t/yr in extra capacity, expected on line next year or thereafter. As an industry, we don't want to be shutting down units in Europe because of cheap subsidised Russian fertilizers. And then, what happens if one day Russia decides to cut or weaponise fertilizer supplies? By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Egypt's Kima and Helwan restart urea production
Egypt's Kima and Helwan restart urea production
Amsterdam, 17 July (Argus) — Egyptian fertilizer suppliers Kima and Helwan have restarted granular urea output, following shutdowns on 16 July. Helwan brought its 650,000 t/yr granular urea plant back on line during the evening of 16 July. It is now running at 80pc and expects product to be available from 18 July. Kima restarted its 570,000 t/yr granular urea plant earlier today and is running at around 75pc of capacity. Both producers had been running at 80pc of capacity from 2 July to 16 July. There has been no update regarding Abu Qir's prilled urea plant, which also went off line on 16 July . Most of the country's remaining urea plants have been operating at 80pc. Mopco is running only two of its three granular urea plants at 80pc, while EFC's production status has yet to be confirmed. Urea export offers had started at $380-390/t fob Egypt earlier in the week, but fresh liquidity emerged yesterday , with NCIC selling 5,000t lots at $362-367/t fob for loading at the end of this month. A gas supply crunch in Egypt has hampered urea production since 20 May, as the country prioritised gas deliveries to power plants to meet summer cooling demand. But LNG imports eased the balance at the beginning of July. Egypt fixed at least 17 LNG cargoes in a 25 June tender — seven for July, six for August and four for September. By Harry Minihan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
More Egyptian urea production offline: Update
More Egyptian urea production offline: Update
Adds Abu Qir's plant closure Amsterdam, 16 July (Argus) — Egyptian fertilizer firms Kima and Helwan stopped granular urea production today, citing gas shortages, while Abu Qir has halted prilled urea output. Kima's 570,000 t/yr and Helwan's 650,000 t/yr granular urea plants are both offline, having operated at 80pc of capacity since 2 July. Abu Qir's 578,000 t/yr prilled urea plant has also gone off line. It is unclear when the plants will restart, the producers said. Kima's plant is in Aswan and Helwan's is in El-Tebbin-Helwan, while Abu Qir's facility is outside of the port of the same name. Most of the country's remaining urea plants are still operating at 80pc. Mopco is running only two of its three granular urea plants at 80pc, while EFC's production status has yet to be confirmed. A gas supply crunch in Egypt has hampered urea production since 20 May, as the country prioritised gas deliveries to power plants to meet summer cooling demand. But LNG imports eased the balance at the beginning of July. Egypt fixed at least 17 LNG cargoes in a 25 June tender — seven for July, six for August and four for September. The country is seeking to bolster LNG import capacity as gas production falls and domestic demand rises. Urea export offers have yet to emerge as all producers are assessing the market and the majority are likely to initially focus on delivering previously committed volumes for export and to meet local demand. But Argus understands that some traders were offered Egyptian granular urea at $380-390/t fob for loading in late July and early August. No deal has emerged yet. By Dana Hjeij and Harry Minihan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Argus Fertilizer Market Highlights
The complimentary Argus Fertilizer Market Highlights package includes:
• Bi-weekly Fertilizer Newsletter
• Monthly Market Update Video
• Bi-monthly Fertilizer Focus Magazine
Spotlight content
Browse the latest thought leadership produced by our global team of experts.
Explore our nitrogen products
Key price assessments
Argus prices are recognised by the market as trusted and reliable indicators of the real market value. Explore some of our most widely used and relevant price assessments.
Related events
No Results Found
