Overview
- The Bolsa de Comercio de Rosario reported in mid‑June that international urea fell from about US$950/ton to roughly US$650–700/ton, a drop of about 25–30 percent that has immediately revived fertilizer demand in the Argentine core farming region.
- Producers and technicians are now planning second nitrogen applications to wheat and reassessing corn sowing plans, with some local areas such as María Susana reporting intentions to raise maize area by around 20 percent.
- The wheat area is already set and is not expected to grow, and projected wheat margins remain tight at about US$86/ha for owned land and US$106/ha for rented land because harvest prices have fallen and field costs have risen sharply.
- Logistics remain a binding constraint: despite signs of geopolitical easing, over 40 bulk vessels with fertilizer were reported stuck near the Strait of Hormuz and exporters warn normal supply flows will resume only gradually.
- Argentina relies on imports for roughly 65 percent of its fertilizer, so farmers must balance the cheaper urea with six‑month import planning, rising field operation costs and upcoming El Niño rainfall that could either support or complicate next season’s decisions.