For the Quarter Ending March 2025
North America
Throughout Q1 2025, the nitrogen (fertilizer) market in North America showed a fluctuating but generally resilient trend. In January, prices rose slightly, supported by restocking ahead of the spring planting season and supply tightness caused by winter-related logistical disruptions. Strong agricultural demand, especially from corn and wheat growers, further fueled price strength as buyers secured inputs early.
However, February saw a mild price correction, driven by high inventory levels that had built up from aggressive January procurement. Despite steady consumption, ample supply from major producers maintained downward pressure on prices. March followed with a slight decline in prices, as improved supply conditions and moderate restocking activity balanced out disruptions at a few production sites.
Demand remained consistent for urea, though the ammonia offtake was weaker amid limited industrial activity and planting delays caused by adverse weather. Export activity to Latin America provided some support, but the global trade sentiment remained cautious due to tariff concerns. Nitrogen prices in the US closed Q1 2025 at USD 250/MT FOB Illinois.
APAC
Throughout Q1 2025, the nitrogen (fertilizer) market in Asia-Pacific (APAC), particularly in India, followed a consistent upward trend. In January 2025, prices edged slightly higher as demand surged during the peak Rabi cropping season. Despite stable domestic production, elevated import costs and government procurement efforts tightened global supply competition, reinforcing bullish pricing. February sustained this momentum, with further price increases driven by tightening inventories, steady crop nutrition requirements, and government-backed distribution programs. Early Kharif preparations also supported stronger offtake. In March 2025, nitrogen prices rose again in the region, fueled by robust field activity and active pre-monsoon restocking across key agricultural regions. A favorable monsoon forecast and a notable increase in agricultural exports bolstered sentiment, while tight inventories in interior regions added pressure. Supply remained steady throughout the quarter, though regional distribution delays and rising usage rates kept the market firm. With strong seasonal demand, limited inventory recovery, and stable production, the APAC nitrogen market maintained a bullish tone through Q1 2025.
MEA
Throughout Q1 2025, the nitrogen (fertilizer) market in the Middle East and Africa (MEA), with a focus on Congo, experienced mixed price movements driven by shifting import dynamics, seasonal agricultural activity, and inventory adjustments. In January, prices rose slightly due to elevated import costs from key exporting nations and logistical hurdles, even as domestic demand remained steady ahead of the dry season. February saw a reversal, with prices declining amid high inventory levels and improved supply chain efficiency. Softer offers from North African suppliers and stabilized port operations at Matadi contributed to easing costs. By March, prices continued to fall as excess stock from earlier shipments, along with reduced shipping costs and improved vessel clearance, weighed on market sentiment. Despite the onset of the secondary planting season, demand remained moderate due to delayed field activity caused by heavy rains and cautious procurement behavior. Traders largely avoided bulk orders, resulting in a subdued trading environment, even as availability across the region remained adequate.
Europe
Throughout Q1 2025, the nitrogen (fertilizer) market in Europe followed a mixed trajectory, starting with a slight price rise in January as restocking activity picked up ahead of the spring planting season. Despite cold weather limiting immediate field applications, distributors increased procurement in anticipation of growing fertilizer demand. However, industrial usage remained muted, and logistical delays in Belgium from Storm Éowyn disrupted supply chains briefly, though high port inventories at Antwerp ensured continued availability. In February, prices saw a mild correction as elevated inventory levels, combined with steady imports from the importing nations, softened the market. While spring sowing preparations led to a gradual uptick in agricultural demand—strikes and congestion at Belgian ports added logistical strain without significantly impacting supply. By March, prices edged lower amid strong competition among regional importers and persistent weakness in non-agricultural sectors. Though agricultural consumption remained stable during early-season planting. Nitrogen prices in Europe closed Q1 2025 on a softer note, pressured by high inventories and limited demand upside.
For the Quarter Ending December 2024
North America
In Q4 2024, nitrogen prices in North America experienced varied trends, driven by changes in agricultural demand and supply dynamics. In the U.S., the market saw notable fluctuations, with prices declining by 1.6% in October as supply constraints eased and post-harvest procurement slowed. The completion of the corn and soybean harvests contributed to reduced demand, allowing inventory levels to stabilize and alleviating pressure on prices.
In November, prices decreased further by 0.8%, reflecting robust supply and minimal stockpiling during the post-harvest period. Improved domestic production and increased imports from global markets maintained adequate availability, while cautious buying behavior among farmers restrained demand. Suppliers offered discounts to manage inventory, resulting in subdued market activity during the off-season.
By December, nitrogen fertilizer prices rebounded, increasing by 2% as agricultural demand strengthened ahead of spring planting preparations. Stable supply dynamics and consistent domestic production supported the modest price rise. Farmers actively procured fertilizers for nitrogen-intensive crops such as corn, bolstering consumption levels.
APAC
In Q4 2024, nitrogen prices in APAC exhibited mixed trends influenced by agricultural demand and global market dynamics. In India, the market saw the most significant price changes within the region. October recorded a 3.4% increase as farmers ramped up procurement for Rabi crops such as wheat and barley, supported by government subsidies that encouraged fertilizer usage. Across APAC, October saw prices increase due to robust procurement ahead of planting seasons and tighter global supply. In November, prices slightly declined as export volumes from key suppliers like China improved, easing regional supply constraints. By December, prices rose again, driven by higher import costs and renewed agricultural demand in preparation for the winter season.
In India, November prices dipped by 1.2% due to the conclusion of the sowing season, with ample inventories and softened global urea prices further contributing to the decline. In December, prices rebounded by 2.5% as import costs increased and steady demand for nitrogen-based fertilizers like urea and ammonium nitrate persisted, ensuring optimal crop support during the ongoing Rabi.
Europe
In Q4 2024, nitrogen prices in Europe followed a mixed trend influenced by seasonal demand, energy costs, and market dynamics. In Germany, prices declined in October due to oversupply and reduced demand following the harvest season. Farmers slowed procurement activities, focusing on existing inventories while awaiting potential price reductions. The agricultural sector exhibited minimal urgency, contributing to the subdued market sentiment.
In November, prices continued to soften as supply levels remained high and demand from key agricultural and industrial sectors stayed muted. Domestic production was steady, supported by stable natural gas availability, and imports from North Africa and the Middle East further bolstered supply. The weak off-season demand led to restrained market activity, keeping prices under pressure.
By December, nitrogen prices showed a slight recovery as agricultural demand for winter crops like wheat and barley improved. Farmers began sourcing fertilizers in preparation for the early spring planting season, providing some support to market dynamics. Despite increased activity, cautious purchasing strategies and high energy costs constrained the overall price rebound.
MEA
In Q4 2024, nitrogen prices in the MEA region showed varied trends, reflecting global supply chain dynamics, local agricultural activity, and logistical challenges. In the Congo, prices decreased in October and November due to improved global nitrogen supply and moderated procurement activities post-harvest. However, December saw a slight increase in prices, driven by higher import costs and preparation for the upcoming dry season planting.
In the Congo, nitrogen fertilizer supply remained heavily reliant on imports, with minimal local production. Import volumes increased as global prices eased earlier in the quarter, allowing suppliers to replenish inventories. However, logistical challenges, including high transportation costs and delays, continued to strain efficient distribution, particularly in rural areas. December’s price uptick reflected rising freight costs and elevated global production expenses, which filtered into the domestic market.
Demand in the Congo followed seasonal patterns. During October and November, post-harvest activities reduced the urgency for fertilizer application, dampening overall market activity. By December, moderate demand re-emerged as farmers began field preparations and planted shorter-cycle crops. Despite rising costs, nitrogen fertilizers remained crucial for agricultural productivity, ensuring steady, necessity-driven procurement.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American region experienced a notable uptrend in Nitrogen pricing, with the USA particularly witnessing significant price increases. The surge in prices can be attributed to robust domestic and international demand, driven by various sectors such as agriculture. Strong inquiries from downstream industries, along with elevated procurement activities globally, created a supply-demand imbalance, leading to tightened supply chains and low inventory levels. This imbalance, coupled with factors like port congestion and potential hurricane-related disruptions, further propelled prices upwards.
Moreover, the positive market sentiment was bolstered by steady economic growth, reflected in increased nitrogen consumption across different sectors. Despite some disruptions in the manufacturing sector, the overall demand remained high, supported by factors like favorable affordability and the need for crop inputs ahead of the fall application season.
Overall, the pricing environment for Nitrogen in the USA in Q3 2024 has been bullish, with prices steadily increasing throughout the quarter and prices rise by 7.9% from the previous quarter. The quarter-ending price of USD 250/MT of Nitrogen 28% Fertilizer FOB Illinois signifies the ongoing upward trend in pricing dynamics.
APAC
The third quarter of 2024 in the APAC region witnessed a notable surge in Nitrogen prices, with India experiencing the most significant price changes. Several factors contributed to this uptrend, including robust domestic and international demand, supply chain disruptions, high import costs, and increased energy prices. The market was further influenced by disruptions at key manufacturing plants, port congestions, and uncertainties in the Middle East, leading to a supply-demand imbalance. India, in particular, saw prices rise by 9% from the previous quarter and Compared to the same quarter in 2023, prices showed a significant 37% increase, reflecting the overall bullish trend in the region. Seasonal agricultural activities and strong industrial inquiries also played a crucial role in driving prices higher. The correlation between price changes throughout the quarter was evident, with a modest increase observed between the first and second half. As the quarter concluded, the price for Liquid Nitrogen Ex-Taloja in India reached USD 465/MT, marking a continued positive pricing environment amidst evolving market dynamics.
Europe
In Q3 2024, the European Nitrogen market experienced a significant uptrend in pricing, with the Netherlands particularly witnessing substantial price increases. This surge in prices can be attributed to robust domestic and international demand, driven by key sectors such as agriculture, which saw an uptick in nitrogen consumption. Strong inquiries from downstream industries, along with elevated global procurement activities, led to a supply-demand imbalance, tightening supply chains and resulting in low inventory levels. Factors like port congestion and flood-related disruptions further exacerbated the supply constraints, pushing prices higher. Moreover, the positive market sentiment was bolstered by steady economic growth, which was reflected in increased nitrogen consumption across multiple sectors. On the supply side, the nitrogen market continued to experience tightness. Despite some disruptions in the manufacturing sector, demand remained high, supported by favorable affordability and the need for crop inputs ahead of the fall application season. Overall, the pricing environment for nitrogen in the Netherlands during Q3 2024 remained bullish, with prices steadily rising throughout the quarter, registering a significant increase from the previous quarter's levels.
MEA
In Q3 2024, nitrogen prices in Congo saw a substantial 41% increase from the previous quarter, experiencing a significant surge throughout the period. This sharp rise was primarily attributed to high import costs and persistently low inventory levels. Congo’s reliance on imports to meet its nitrogen fertilizer demand left the market vulnerable to global price fluctuations and supply chain disruptions. With limited domestic production capacity and difficulties in securing affordable imports, the nitrogen market in the country tightened considerably, leading to price hikes across the board. Import prices surged due to rising global demand, and shipments from major producers were both limited and costly, further straining the local market. The agricultural sector, which heavily depends on nitrogen fertilizers for crop production, continued to drive demand, even as rising costs created financial challenges for buyers. Smallholder farmers and larger agricultural operations alike struggled with the increased prices, leading to concerns over the affordability of fertilizers and the potential impact on production costs and food security. While demand remained steady, the combination of constrained supply and elevated procurement activities contributed to the bullish pricing environment in Congo, with significant upward pressure on prices expected to continue into the next quarter.
For the Quarter Ending June 2024
North America
In Q2 2024, the Nitrogen market in North America demonstrated a robust upward trajectory, primarily driven by several key factors. The quarter saw escalating corn and natural gas prices, which directly influenced nitrogen production costs. High energy prices compounded by geopolitical tensions, such as the Middle East conflict, further strained supply chains, resulting in increased nitrogen fertilizer costs. The collapse of the Francis Scott Key Bridge in Baltimore exacerbated logistical challenges, significantly impacting trade activities and port operations, thereby constraining supply and inflating prices.
Focusing on the USA, the market experienced the most pronounced price fluctuations. The agricultural sector's increased demand, spurred by favorable crop prices and enhanced farm incomes, bolstered nitrogen purchases. Additionally, the resurgence in the automobile market, marked by a 7.6% month-on-month increase in vehicle sales, spurred demand in the metallurgy and metal processing industries. Seasonality also played a role, with Memorial Day holiday incentives further amplifying procurement activities.
The overall trend in Q2 was bullish, characterized by a consistent upward momentum in prices. Despite a quarter-over-quarter decline of 3%, the nitrogen market rebounded strongly with a notable 5% price increase from the first to the second half of the quarter. The pricing environment was decidedly positive, reflecting heightened market optimism and strong demand. Conclusively, the quarter ended with nitrogen prices at USD 232/MT FOB Illinois, underscoring the persistent upward trend and positive sentiment in the market.
APAC
In Q2 2024, the nitrogen market in the APAC region has experienced a distinctly bullish trend, driven by several influential factors. Elevated production costs, primarily due to rising natural gas prices, have significantly impacted nitrogen prices. Concurrently, geopolitical tensions and port congestion have exacerbated supply chain disruptions, further straining the market.
Focusing on India, the country has witnessed the most pronounced price fluctuations within the APAC region. The Indian nitrogen market has been buoyed by strong demand from the agricultural sector, supported by government subsidies and robust construction activities. Seasonal variations, particularly the preparation for the kharif season, have heightened procurement activities, driving up prices. Overall, the nitrogen market in India has reflected an increasing trend, with a substantial 18% price rise from the previous quarter in 2024.
The latest quarter-ending price for Liquid Nitrogen Ex-Taloja in India stands at INR 37000/MT, reflecting a positive pricing environment. The upward trajectory in nitrogen prices has been predominantly due to heightened demand, supply constraints, and strategic governmental support, marking a favorable economic landscape within the region.
Europe
In Q2 2024, European Nitrogen prices exhibited mixed trends influenced by complex regional dynamics. Variations in supply and demand led to localized price fluctuations, with inventory levels playing a key role. Overstocking resulted in price decreases, while understocking led to increases.
Demand from agriculture, the primary consumer of Nitrogen-based fertilizers, was moderate to low due to adverse weather conditions and fluctuating crop yields. Industrial applications also experienced variable demand, adding to price variability. Natural gas prices, essential for Nitrogen production, impacted production costs and, in turn, prices.
The European ammonia market, derived from nitrogen, showed mixed trends. Stable prices from major exporters like Russia and ample domestic stock in Germany, bolstered by increased production capacity from BASF and IPP, supported market stability. However, fluctuating demand and adverse weather conditions, including windstorms and floods, led to inconsistent demand patterns across Europe.
In conclusion, the European Nitrogen market faced a mixed price trend in Q2 2024, driven by regional supply and demand disparities, inventory adjustments, and fluctuating downstream demand. The overall market reflected a complex interplay of weather conditions, economic factors, and production dynamics.
MEA
During Q2 2024, nitrogen prices in the domestic market of Congo experienced a notable rise, influenced by a combination of international and local factors. High import prices from the USA, driven by increased corn and natural gas costs, played a significant role. This period saw bullish market sentiment, prompting businesses to increase purchase quantities and inventories in anticipation of sustained demand growth.
Increased demand for nitrogen fertilizers in the USA was driven by elevated corn prices and rising natural gas costs, essential for producing synthetic nitrogen fertilizers. This demand surge influenced Congo's market, where manufacturers faced heightened production costs due to high natural gas prices. Additionally, port congestion and geopolitical disruptions exacerbated supply chain issues, further pushing prices up.
In Congo, the agricultural sector's optimism remained high due to increased farm incomes and the need to boost crop yields. The manufacturing sector also showed significant improvement, with accelerated production growth and a surge in new orders. These factors combined to create a noticeable supply-demand imbalance, reducing inventory levels and sustaining the upward price trend. Overall, the nitrogen market in India has reflected stabilized trend, with a marginal rise of 0.1% from the previous quarter in 2024.
Q2 2024 saw a substantial increase in nitrogen prices in Congo and thus latest quarter-ending price for Nitrogen CFR Matadi (Congo) stands at USD 1295/ MT, reflecting a positive pricing environment., driven by high import costs, robust domestic demand, and supply chain challenges. The market remained bullish, with low supply and high demand dynamics, reinforcing the positive market sentiment and contributing to sustained price increases.
