Mags41dts
Tremor Buff
- Joined
- Nov 9, 2021
- Messages
- 61
- Reaction Points
- 144
- Location
- ‘MeriCa
- Current Ride
- 1987 Honda Civic Si
Hi all,
I work in the chemical industry and get periodic market updates on UREA supply.
Thought I would be able to provide some updates as it has been an interesting year for the material.
Supply issues really started nipping us in the butt back when Nutrien was formed with the merger of Agrium and Potash corp. They saw an opportunity to self supply Potash needs with Agrium product. It took a decent chunk out of domestic supply available for the market. Import finally caught up in 2020, but now we see the issues getting product to port.
So we’re in a snug supply situation, which is one step below “tight.”
This week two suppliers announced a $30/ton increase in costs rolling out for December. So not a huge increase but expect increases to continue through the rest of the year into Q1 2022. Beyond that we’re not sure yet.
I work in the chemical industry and get periodic market updates on UREA supply.
Thought I would be able to provide some updates as it has been an interesting year for the material.
Supply issues really started nipping us in the butt back when Nutrien was formed with the merger of Agrium and Potash corp. They saw an opportunity to self supply Potash needs with Agrium product. It took a decent chunk out of domestic supply available for the market. Import finally caught up in 2020, but now we see the issues getting product to port.
So we’re in a snug supply situation, which is one step below “tight.”
This week two suppliers announced a $30/ton increase in costs rolling out for December. So not a huge increase but expect increases to continue through the rest of the year into Q1 2022. Beyond that we’re not sure yet.
