Dairy commodity, fertiliser prices on the rise Thu, 30 Aug 2007 10:54a.m.
A world economy on the boil is pumping up dairy commodity prices for New Zealand and fertiliser prices as well.
World demand for fertiliser products is huge, says Larry Bilo-deau, Chief Executive of Balance Agri-Nutrients.
International market prices have increased more than 100 percent, including sulphur and DAP.
Sulphur was US$40-a-tonne; it is now US$120-a-tonne.
DAP was around US$200-a-tonne; currently it is at US$440-a-tonne.
Urea has been steady for the last three years with prices averaging US$150 to US$160-a-tonne. Now urea is US$295-a-tonne on the international market.
A key driver of increased prices is growing agriculture in China, India and South America. Global demand means many fertiliser plants are operating near maximum capacity.
Biofuel cropping in US, South America and Europe is also having a distinct impact on demand for fertiliser.
