News

Locking in fertilizer prices

A risk management consultant with StoneX Financial says now is the time for growers to lock in fertilizer prices.

Zionsville, Indiana-based Matt Blasdel says there could be some challenges as the planting season approaches.

“I think we could have a logistics issue where product could be hard to get this spring especially when you want it,” he says. “If that’s the case, I just don’t want farmers to be left on the sideline waiting for rail cars or barges to get unloaded just because they were waiting for lower prices.”

He shares his outlook for the nitrogen fertilizer market.

“We’ve seen a market that has been extremely bearish and trending lower on the nitrogen products and has done that largely since the rally that we had last summer. We’re seeing urea being the lead dog in that downward price and lately we’re seeing UAN fall it lower. We’re struggling to see how ammonia is going to trend. We believe those prices break but we haven’t seen it yet,” he says.

As for other fertilizer products, Blasdel says, “on the other products, largely phosphates and potash have started to trend lower before the nitrogen market has. We feel there’s starting to be much more of a sideways trend on those two markets. As we got through the holiday season here, we’re starting to see farmers talk to their agronomists and make those decisions as they’ll pretty much be in the field in the next 80 days.”

Brownfield interviewed Blasdel during the recent Agricultural Summit by First Farmers Bank and Trust.

Audio: Matt Blasdel

Add Comment

Your email address will not be published.


 

Stay Up to Date

Subscribe for our newsletter today and receive relevant news straight to your inbox!