Hurricanes Trigger Higher Fertilizer Prices
Lorrie Boyer
Reporter
“And of course, it was right on the back of this Iranian missile attack on Israel. Everybody got spooked. Everybody saw prices going up, and rightfully so when you look at the Middle East and North Africa region, just that small part of the map. One out of every two tons of urea exported in the world comes from those two small areas. So it was right to see that and get nervous. But from my point of view, from our point of view, that was not the actual cause of prices going up. We have been going through a lot this year. With the EU region, production is still 75% of normal in the area market. That's about three and a half million tons less than normal Chinese exports, which are usually five to five and a half million tons per year. Gain rate through August, only 245,000 tons, and not much optimism that's going to improve here. October, November, December. There's been production problems in Egypt. There's been production problems in Brazil. So globally, nitrogen has been very, very tightly supplied.
Therefore the bombing is a trigger and not the reason for the higher fertilizer prices.”
Therefore he says the missile attack was the trigger and not the reason for higher fertilizer prices in.