Pacific Fertiliser News – March 2026

GENERAL NEWS

The effects of the conflict are consuming the entire sector with the rapidly increasing input costs and supply chain issues posing challenges to the whole industry.

The urea price and diesel price have been on a similar trajectory over the last few weeks. Urea up ~75%, and Diesel has nearly doubled up from 166c/lt TGP to 311c/lt today. Long term supply for both products is still uncertain whilst there is no clear end to the conflict.

The diesel price has sent a massive shock throughout the freight industry, which has never seen a cost shock so large and so fast hit their sector. Most operators are bleeding money each week to keep the wheels turning and customers happy, hoping their diesel levy mechanism will catch up and be accepted by their customers.

There has been a lift in grain prices up to $35/t, but most of these gains are offset by the increase freight costs to port/customer. This makes for double trouble for those buying feed grain for their operations.

Growers are quickly approaching a point where the rising fertilizer prices, freight costs, and the potential for below-average rainfall, now make not planting winter crops (or a % of) a real option.

WEATHER

As the rain falls in some areas over the next few days, the majority of growing areas require a lot more moisture to give confidence for the winter season.

CQ has been getting good summer rain and most are looking at full moisture profile.

Northern NSW and into southern QLD regions are close to the mark, but south of Moree down to Dubbo is generally a lot drier especially the further west you go.

Southern NSW & VIC  is now looking better with recent rain adding to depleted profiles.

FERTILISER NEWS – 27th March 2026

Global and domestic fertiliser prices have surged due to the closure of the Strait of Hormuz and reduced gas production in the Middle East, where many fertiliser manufacturers are located.

Domestic Urea prices have shot up around 75% from $830’s three weeks ago, to low $1400’s ex port today. Supply is set to remain tight out to July/August.

Pricing for AP’s have risen slower than nitrogen products. DAP/MAP have seen increases of around 30% for the 3 weeks. Domestic supply in the winter planting window for MAP and Starter fertiliser is near non-existent for un-committed volumes.

The supply of all mainstream fertiliser products will remain tight for sometime.

Sulphur has been increasing in price from global demand, but the conflict will keep upward pressure on this commodity.

Other factors affecting the domestic market:

  • Aussie  Dollar down from 71c to 69c
  • Chinese export ban  Urea (May) and APD’s (August)
  • Indian Urea tender is due to be out April putting more pressure on the price, with Brazil and Pakistan to follow
  • Ukraine has attacked Russian Urea facilities and Algeria is reducing 50% of their production to free up gas supply

Global Fertiliser Facts

  • The Middle East accounts for 30% of global Urea exports and 50% of sulphur
  • 85% of Middle East Urea is exported via the Strait of Hormuz
  • 89% of Middle East DAP/MAP is exported via the Strait of Hormuz
  • 55 – 65% of Australian Urea normally comes from the Middle East

SPONSORSHIP

Pacific Fertiliser sponsors sporting clubs in regional areas and we are behind numerous Rugby clubs again this winter. If you think your club or team has good proposition for us, let us know.