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 News

28/08/2017 0:00 - Agricultural Commodities Market
JULIO CALZADA
Strong rise in the use of fertilizers in 2016

The fertlizers consumption in 2016 had an interannual increase of 45% and reached 3.6 million ton. The sector specialists indicate that 2017 continue the same bullish direction hand in hand withe such crops that more nutrients demand, could break the 2011 record.

Representatives of Fertilizar Civil Association informed that the fertilizers consume in argentina agriculture would reach a record in the current year. The same would be located between 3.8 and 3.8 million tons considering the total use of these inputs doe by agriculture, livestock and also de sugar cane production. With this volume range consumed for 2017, the interannual raise would be of 6%, what constitute in an excellent notice for de Argentinian country.

 

If we analyzed the data of the last three decades of Fertilizar, we can see that in 1990 the fertilizers consume in Argentina was of 300.000 annual tons. With the consumption of 3.6 for 2016, Argentina would have multiplied by 12 the use of these inputs during de last 27 y years. By the way a quite relevant figure. Observing what happened during the 20 years (comparing 1997 with 2016) the consumption multiplied by 2,5.

In the year 2015 Argentina registered a serious setback in the use of this inputs, falling the consumption to 2.4 million tn. The decision adopted by the current National Government, related to the Exchange market normalization, the removal of the export duty over almost all the grains and its derivatives (with the exception for the soybean complex) y the major fluency for the exports operations, generated a relevant increase in the seeded area (mainly wheat and corn) and a major fertilizers used. This resulted in an important recovery to reach to 3.6 million ton in 2016.

This positive trend in the consumption growth would be consolidated this year also. When the first quarter data of 2017 are analyzed comparing with the same period in 2016, we can see that the fertilizers consumption during the first quarter of this year was 010% higher than the same period in 2016 (table 2). The nitrogen fertilizers registered an important raise of 12%, while the phosphatic fertilizers a 2%.

 

We have to point out that some important aspects of this sector and the consumption of fertilizers in Argentina:

a) The fertilizers demand in our country is concentrated in the main grains and oilseeds the fertilizers in our country. 70% of the used is distributed among the three crops with more sowed area: soybean, corn and wheat. The percentage soybean, corn and wheat. The percentage share are very similar to the three crops, whith values in the orther of 20% each one.

b) The fertilizers consumption per seeded ha is bigger in wheat and corn. The high involvement of the soybean crop responds to the big seeded area with the oilseed –almost 20 million ha, that doubles the aggregate surface of corn and wheat.

c) In 2016, the total consumption of fertilizers was 3.6 million tn, 51% obeyed to nitrogen fertilizers (1,8 million ton), 41% to phosphatic fertilizers (1,5 millions), 4% were the sulphur (133 million ton tn), 2% potasicc (61 million ton) and y the 2% the rest of this inputs.

 

d) According de Ministerio de Agroindustria de la Nación, in Argentina the offer of nitrogenous fertilizers is covered mainly by the local production, meanwhile the higher share of the phosphate is acquire abroad, as we can see in table 2.

 

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Institutional Video of the Bolsa de Comercio of Rosario (Rosario Board of Trade)

 Rosario Board of Trade

The Rosario Board of Trade is a centennial institution located in Rosario, in the most important agroindustrial zone of Argentina. Throughout its history it has created and boosted transparent, solid and reliable markets: the Grains Physical Market, the Futures Market, the Capital Market, and the Livestock Market.

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