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May 2016 Edition

 

Thank you for taking time to read our May 2016 edition of FertiNews. The content of this newsletter reflects what, we believe, is important and relevant to you and your business. We welcome ideas you would want to be incorporated and concerns you would like to be addressed in upcoming issues of FertiNews. As always, we appreciate the opportunity to serve you!

 

Regional Fertilizer Retail Price Summary - April 2016

Commercial Market Prices (com) vs. Subsidized Prices (sub)
 
Product (US$/ton)
Type
BFA
CIV
GHA
MAL
NGA
SEN
TGO
NPK
15-15-15
com
 
572
614 642 599 484 506
sub
 
486
444     276 382
NPK
23-10-5
com
590
  617
 
 
 
 
sub
 
 
444
 
 
 
 
NPK
6-20-10
com
 
 
 
644
  406  
sub
 
 
 
 
 
246
 
Urea
46-0-0
com
604
563 589 577 593 553 388
sub
 
490
423     285 382

 

Comments:
In Cote d'Ivoire, prices of fertilizer remained stable in a less turbulent market. In the cotton zone, the commercial price of urea ranged between 15,000 FCFA and 17,500 FCFA as against 14,000 FCFA to 14,500 FCFA for subsidized urea resold on the parallel market, and 13,500 FCFA to 14,500 FCFA for subsidized NPK 15-15-15 + 6S + 1B  resold on the parallel market. The sale price of cocoa fertilizer NPK 0-23-19 remained stable - between 16,000 FCFA and 17,500 FCFA a bag of 50 kg. Compared to the month of March, sales improved slightly with purchases from small-scale cocoa producers.

According to traders in Burkina Faso, there was an increased purchase of cereal and vegetable based fertilizers since mid-March. The purchase continued through the month of April but at an irregular frequency. The quantities acquired essentially were intended for market gardening and maize. This period is characterized by the implementation of the off season production around the dams located in the North-West and in the Center-South of the country.

In Mali, the market remains stable with low volume transactions. The commercial price of urea varied from 14,000  FCFA to 20,000 FCFA a bag of 50kg, NPK 15-15-15 sold between 17,500 FCFA to 20,500 FCFA a bag of 50kg, DAP sold between 18,500 FCFA to 22,000 FCFA a bag of 50kg. Activities were mainly focused around the identification of fertilizer needs of the next crop year which will likely begin through Mid-May.

The fertilizer market in Senegal was less active in April because of low requests. The Senegalese agricultural players, mostly seasonal farmers are almost inactive. They are waiting for the rainy season to restart their agricultural activities. This situation explains the low stocks in stores. However in Dakar and Thies (Niayes), fertilizer intended for gardening (NPK 6-20-10 and NPK 10-10 -20) are selling compared to other regions.

Prices of fertilizer in Nigeria gradually shot up through May in areas where the rains have started such as the North Central part of the country like Benue, Nasarawa and Plateau states. The rains are yet to start fully in the North East and North West parts of the country and as a result, prices are yet to pick up in those areas. Agro-dealers expect the price of urea and NPK to hit record highs in May and June in the entire Northern states.
 
   

International Fertilizer Prices through April 2016

 

Product (US$/ton, FOB bulk)
Jan '16
Feb '16
Mar '16
Apr '16
Urea (granular, Arab Gulf) 202
227
231
224
Urea (granular, Indonesia/Malaysia)  217
206
207
214
Ammonium Sulphate (China)
109
 107
110
108
DAP (Baltic/Black Sea)
395
360
352
 338
MAP (Morocco)
448
408
370
361
TSP (Tunisia)  390  336
315
313
MOP (Israel)  258 244
239
240
SOP (€, North West Europe)
500
 500  500
494
NPK 16-16-16 (FSU)
336
 320  322
318
Source: Argus FMB
 
Comments:
Urea prices are expected to remain firm throughout the first half of May, but the outlook for June is more bearish. The principal exception in the short-term is North Africa. Algerian and Egyptian urea prices are sliding due to declining demand from Europe, which obliges producers to compete for sales in more distant markets. Granular urea from the Arab Gulf declined by 3% between March and April from an average US$231/ton to US$224/ton.

Brazilian phosphate imports will have to ramp up seasonally at some stage, but it is still envisaged overall Indian DAP imports for 2016-17 to be below 2015-16 levels based on high stocks. In this scenario it is hard to see price upside in the short term unless Brazil recovers to import levels seen in 2014. The downward trend of phosphate product average prices were again observed through April across DAP, MAP and TSP. 

OCP reports a significant May line up of NPKs to Benin, Togo, Nigeria and Mali. These commitments total around 185,000t. In addition there are the two MAP cargoes of 30,000t each for South Africa and 15,000t DAP to African markets sold around $350/t fob. European shipments for May are minimal. In India, OCP has agreed 100,000t DAP with a buyer under formula also for May shipment and is understood to have sold another cargo.

The global market outlook remained uncertain on the potash market, but the start of formal Chinese contract talks coupled with spot price stability and improved near-term demand in the US was a boost for suppliers in need of some positives... Read more
 

Click here to access Argus FMB's new report- Sub-Saharan Africa Fertilizers: Resources, Markets, and Logistics
 


Agricultural Growth in West Africa – Market and Policy Drivers

Improving farmers’ access to inputs such as chemical fertilizer, improved seeds, pesticides, and veterinary products is critical to boosting agricultural productivity in West Africa. Access to these inputs, however, is hindered by structural problems in agricultural input markets. Read this report of the African Development Bank (AfDB) and the Food and Agriculture Organization of the United Nations (FAO) published in February 2015 to get more insight on the challenges faced by agriculture in West Africa and how these challenges are being addressed: Click to download full publication
 
 

 

Olam Ghana

Established in 2012, Olam Ghana is a 100% owned subsidiary of Olam International, Singapore. It is one of the 5 big fertilizer importing companies under the Government of Ghana fertilizer subsidy program. As a leading global supply chain manager and processor of soft commodities with 12Bn USD of revenue, the company is present in 65 Countries across the globe with 24 countries in Africa alone. It has over 30 manufacturing facilities across Africa including a 1.2Bn USD fertilizer plant being constructed in Gabon. To date, the company has supplied over 55,000 metric tons of fertilizer in Ghana. It has about 30 major distributors across the 10 regions of Ghana. Olam also supplies major plantations like Benso Oil Palm Plantation, Twifo Oil Palm Plantation, Ghana Rubber Estate Ltd, Norpalm Ghana Ltd. etc... Read More
 

 

Managing Soil Fertility

In this video of 2SCALE, a project of IFDC (International Fertilizer Development Center), you will discover all about nutrients, soil structure, organic matter and how to maintain fertile soil. All this will allow you to keep on cultivating your land and producing healthy crops.
 
 
 

Connect With Us


Fertilizer News


Ghana: (11 April 2016) - Ghana Cocoa Board began cocoa fertilizer distribution to all cocoa growing areas in Ghana...  Read more
 
Nigeria: (24 May 2016) - Prof Victor Chude, the chairman, Technical Committee on Fertilizer revealed the major challenges to effective and quality fertilizer in Nigeria during the 2nd Fertilizer Stakeholders Forum held in Abuja from 18th to 20th May 2016... Read more

Nigeria: (25 May 2016) - During the 2nd West Africa Fertilizer Stakeholders Forum, the United States Aid (USAID) director, Michael Harvey, talked on the theme “Scaling up Quality and Adapted Fertilizer Supply in West Africa”. He said that quality fertilizer will improve food security and ensure poverty alleviation in Africa... Read more
 
Senegal (25 April 2016) - The National Program of domestic biogas in Senegal (GNP-SN) will soon proceed with the installation of 600 biodigesters in the region of Ziguinchor. This will lead to a production of 32 000 tons of fertilizer per year and will improve agricultural yields.... Read more
 

 

MORE NEWS





Up-Coming Events


Fertilizer Technical Working Group Workshop (Burkina Faso, Cote d'Ivoire, Mali and Senegal)
Date: 07 - 09 June 2016
Venue: Songon Park, Cote d'Ivoire
Organized  by: AfricaFertilizer.org and USAID West Africa Fertilizer Program 
 
The workshop is bringing together key fertilizer stakeholders from Burkina Faso, Cote d'Ivoire, Mali and Senegal to review and validate 2015 fertilizer statistics from the four countries.

 
Linking farmers to markets in Africa
Date: 11 - 15 July 2016
Venue: Abidjan, Cote d'Ivoire
Organized  by: IFDC
 
Join this 5-day training intended for professionals in the private and public sector with a particular interest in the connection between farmers and markets... Read More

 




Argus Africa Fertilizer Directory- List your business for free now!
 
Argus is collaborating with IFDC to bring together the African Fertilizer Industry in the directory which will help companies from all over the world to interact and do business with Africa.

Click here to fill in this short registration form and add your company to the 800+ companies already listed!
 
About USAID WAFP
The West Africa Fertilizer Program is a five-year USAID-funded project that seeks sustainably improved agricultural productivity through increased regional availability and use of quality and appropriate fertilizer in West Africa. 

About AfricaFertilizer.org
AfricaFertilizer.org is a global initiative facilitating the exchange of information on soil fertility, fertilizers, and good agricultural practices in Africa.
Contact Us
IFDC (NWAFD)
PMB CT 284 Cantonments
Accra
Ghana
Tel: +233 560-027917/18
www.ifdc.org
Email: info@africafertilizer.org