Buenos Aires, August 6th. After reaching a new record harvest in the 2018/19 season (147 MMT), the higher economic margins of farmers are translating in an enhancing nutrient demand. It is expected that wheat planted area grow this season 2019/20 to 6.5 million hectares, and also that the corn area grows next spring. The combination of money and good perspectives is driving the fertilizers demand. According to the RIA Consultores weekly report, one million tons of fertilizers were imported during the first half of the year. The report only considers the largest products used by farmers, i.e. urea, UAN (urea ammonium nitrate), diammonium phosphate, monoammonium phosphate, and natural calcium phosphate (phosphate rock).
The port warehouses are full of fertilizers this year. From 760,508 tons imported in the first half of 2018, volume jumps to 995.894 tons this year. Urea imports grew 140% to 190,560 tons, while DPA imports grew 35% to 424,028 tons. Those are the products that exhibit a dramatic increase in its demand. Phosphate rock exhibits 18% interannual grow and DAP 14%. Only imports of UAN down from last year at a 20% rate.
Morocco, China and Russia are the largest suppliers of DAP, accounting 82% of the total imports, while Algeria, Egypt, Bolivia and Russia represent 97% of the urea imports this year.
From the NGO Fertilizar, their president Jorge Bassi agree with the perception that farmers increased the wheat area, but using higher doses of nutrients. “Except during June, when rains momentarily stopped the seeding, we saw an active nutrients demand, and farmers applying more technology to achieve high yields”, Bassi told to eFarmNewsAr.com. “Currently, fertilizers demand for the corn is still cold, but we are seeing that seed sales in the pre-campaign are going well and then we expect that this will be moved to the nutrient demand. We are optimistic in that sense about the next summer campaign”, he stated.