# Nitrogen and phosphates drift downwards as Rand strength helps push local prices down. - South Africa

> Urea and ammonium phosphate prices in South Africa fell week on week to May 26, with urea down 2.4% and MAP down 1.6%. Urea offers from Russia and Iran are pressuring prices while buying interest stays quiet. The US Tampa ammonia contract dropped almost 40%.

- Date: 2022-05-27 · published 2022-05-27T12:00:00.000Z
- Category: trade · region South Africa · magnitude medium
- Page: https://feedsoft.ai/events/6165-nitrogen-and-phosphates-drift-downwards-as-rand-strength-helps-push-local
- Commodities: [Urea](https://feedsoft.ai/c/UREA.md), [DAP](https://feedsoft.ai/c/DAP.md), [Potash (KCl)](https://feedsoft.ai/c/POTASH.md)

## Why it matters

Cheaper nitrogen and phosphate inputs lower farm input costs and reduce pressure on feed grain production costs. Competitive Russian and Iranian urea offers and a seasonal demand lull point to further softness in the near term.

## Read by commodity

- DAP: bearish ▼
- UREA: bearish ▼
- POTASH: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| UREA | 2022-06-03 | 5 | -17.5% | -3.1 | Russian and Iranian urea offers weighing on prices amid quiet buying, plus a roughly 40% drop in the Tampa ammonia contract and a stronger Rand, point to supply-side pressure and weaker input costs. |
| DAP | 2022-05-27 | 1 | -8.1% | -5.4 | Falling phosphate (MAP/ammonium phosphate) prices in South Africa, a weaker Tampa ammonia contract (a key DAP input cost) and quiet buying point to softer fertilizer sentiment and lower input costs, consistent with a DAP drop, though the regional scope and modest MAP decline (-1.6%) are small relative to an 8% move. |
| UREA | 2022-06-01 | 5 | -17.1% | -2.9 | Urea offers from Russia and Iran pressured prices amid quiet buying, and the Tampa ammonia contract plunged about 40%, lowering input costs. |
| DAP | 2022-05-31 | 5 | -11.6% | -4.2 | Falling ammonium phosphate (MAP) prices in South Africa, a sharp drop in Tampa ammonia (a key DAP input cost) and Russian supply pressure point to weaker phosphate pricing, though the South African evidence is regional. |
| UREA | 2022-05-27 | 1 | -9.5% | -3.5 | Cheaper urea offers from Russia and Iran, quiet buying interest and a sharp fall in the Tampa ammonia contract show supply pressure and weaker input costs, though the South African move was small (2.4%). |
| DAP | 2022-06-01 | 5 | -12.2% | -4.0 | Ammonium phosphate (MAP) prices fell week on week in South Africa and ammonia contracts dropped sharply, reflecting softer phosphate and input-cost sentiment. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| UREA | 2023-10-27 | [Indian tender pushes urea prices down; Phosphates and Potash prices unmoved.](https://feedsoft.ai/events/33539-indian-tender-pushes-urea-prices-down-phosphates-and-potash-prices-unmoved.md) | -4.8% | -8.8% |
| UREA | 2022-10-28 | [China's return to the international marker drives down pricing of nitrogen, phosphate and potash \| Farm Weekly \| WA](https://feedsoft.ai/events/10122-china-s-return-to-the-international-marker-drives-down-pricing-of-nitrogen.md) | -8.1% | -12.8% |
| UREA | 2024-11-22 | [Nitrogen prices are weakening.](https://feedsoft.ai/events/27724-nitrogen-prices-are-weakening.md) | -0.3% | +3.6% |
| UREA | 2025-03-09 | [Urea Prices Decline as US Tariffs Impact Phosphate, Potash \| CZ app](https://feedsoft.ai/events/25925-urea-prices-decline-as-us-tariffs-impact-phosphate-potash-cz-app.md) | -0.1% | +4.0% |
| UREA | 2022-05-01 | [Big leap in the Rand wipes out the drop in urea and pushes other nutrient prices up.](https://feedsoft.ai/events/6217-big-leap-in-the-rand-wipes-out-the-drop-in-urea-and-pushes-other-nutrient.md) | -2.3% | -11.6% |
| DAP | 2022-10-28 | [China's return to the international marker drives down pricing of nitrogen, phosphate and potash \| Farm Weekly \| WA](https://feedsoft.ai/events/10122-china-s-return-to-the-international-marker-drives-down-pricing-of-nitrogen.md) | -6.6% | -9.7% |
| DAP | 2024-12-16 | [Urea Prices Surge But Phosphate and Ammonia Struggle \| CZ app](https://feedsoft.ai/events/26888-urea-prices-surge-but-phosphate-and-ammonia-struggle-cz-app.md) | +1.7% | +3.2% |
| DAP | 2026-02-19 | [Tunisian phosphate exports show signs of recovery - African Manager](https://feedsoft.ai/events/20905-tunisian-phosphate-exports-show-signs-of-recovery-african-manager.md) | 0.0% | +3.1% |

## Sources

- farmingportal.co.za: https://farmingportal.co.za/index.php/agri-index/68-crops/8005-nitrogen-and-phosphates-drift-downwards-as-rand-strength-helps-push-local-prices-down-south-africa

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.