Irish fertiliser prices among the highest in the world

Irish nitrogen prices are among the highest in the world when we compare farmgate prices globally. In an Irish Farmers Journal urea price survey conducted this week, prices range from a high of €2.08/kg nitrogen in Northern Ireland to a low of €1.77/kg in the US Midwest.

Republic of Ireland prices are €1.97/kg of nitrogen, ranging in price between €850/t to €920/t for payment up front.

While urea is the product of choice at the moment many countries use ammonium nitrogen products (CAN 24% to 34% nitrogen) and prices for this product in our survey retail at €2.40/kg nitrogen.

While some suggested nitrogen prices were beginning to soften marginally, the industry was dealt a further blow this week with the news that Russia was putting a two-month ban on ammonium nitrate.

While freezing temperatures and snow cover most of Russia, the Russians suggest the ban is necessary to retain fertiliser stocks in the country because of an early spring.

The impact of this new ban has yet to be seen or felt in the trade. Russia is the largest fertiliser exporter in the world.

The ban came into effect on 2 February and will last for two months.

Future gas prices, the main determinant of fertiliser prices are remaining stubbornly high well into 2022.

Meanwhile, at the spring Fertilizer Association of Ireland meeting on Tuesday, Department of Agriculture inspector Dymphna Keogh suggested that while the Nitrates Action Programme is still only in draft form, it is expected that 2022 will be the first year farmers must reduce bag nitrogen spread by 10%.