Urea prices in Brazil have risen to $488 per tonne even though local buying interest remains limited, with the market taking direction from higher European natural gas costs, a key input for nitrogen fertiliser production, and from the outcome of a recent Indian import tender.
India's state buyer secured only 410,000 tonnes in its latest tender, a volume regarded as modest against typical purchase sizes. A smaller-than-expected Indian intake usually signals ample global availability or cautious buyer sentiment, yet in this case it was not enough to prevent prices firming elsewhere.
For traders, the combination of rising European gas-linked production costs and a thin Indian tender points to a market balancing tighter supply cost pressures against patchy demand. Brazilian buyers facing higher landed urea costs may delay purchases, while suppliers will watch upcoming tenders for signs of firmer offtake.
Related on gidex.com: urea supply · the fertiliser desk · buying through the desk
Original note by GIDEX Group based on reporting by Fertilizer Daily. Written up by the GIDEX market desk — see how these notes are made. Not investment advice.
Mosaic flags a potential 40% phosphate supply gap versus normal demand, warning of physical shortages beyond just higher prices.
Yara's Q3 2026 EBITDA fell 16% to $675m on a 57% rise in European gas costs, though ROIC improved and European nitrogen volumes grew 4%.
Haryana suspends IPL DAP sales amid misrouted rakes, deepening India's fertiliser shortage during key wheat and mustard sowing season.