Hi Nobull,I agree - phosphate pricing is the key driver of MAK -...

Hi Nobull,

I agree - phosphate pricing is the key driver of MAK - no question :)

I think the best indicator for trying to see what the price direction is - is look at what MAK's potential customers are saying, and their pricing expectations.

This was from the Ballance website (NZ Fertiliser manufactuer - and potential MAK customer - receiving one of the sample bulk shipments I beleive,) and this is the strongest indication that pricing has bottomed, when you know customer's have an expectation to pay more :)

This is from another thread, but has relevance to this topic.

"While raw materials such as phosphate rock have recently decreased in value, other products such as DAP are on the rise again, says Ballance Chief Executive Larry Bilodeau
Farmers should make the most of the window of opportunity created by lower international phosphate rock prices, as we are unsure how long it will last.
Mr Bilodeau says that the international fertiliser market is now demonstrating similar behavioural patterns to last year, when prices rose spectacularly. However, he did not expect any price jumps to be as drastic this time round.
We hope this move to lower superphosphate prices will prove to be sustainable, but it has become a very difficult international market to predict, he cautions.
Looking further out, there are signs of a general upwards price movement for fertiliser products internationally, so it is too early to tell where the market will settle. The reality is that phosphate rock still costs double what it did little more than three years ago.
He said the recent decline in nutrient use in most markets couldnt continue indefinitely without potential consequences for the global food supply.
This is why I believe the fundamentals are still strong for farming, and New Zealands role is vital.
Ballance Chairman David Graham says with fertiliser becoming more affordable again he believes the scales will tip towards the emphasis being on making the correct agronomic decision, as opposed to acting based on fertiliser price alone.
This is a timely price drop, he says, because many farmers who had cut back on their fertiliser applications over the past 18 months for economic reasons were starting to see a decline in pasture cover going into summer.
While it was possible to reduce expenditure by eliminating the fertiliser spend and in tough times thats understandable some farmers are now starting to see the consequences of this in terms of poorer pastures and lower production.
We anticipate that this drop in plant nutrient prices will assist farmers to act in the best interests of their farm once again."