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What are your thoughts on the fertiliser price s for 2022

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  • Registered Users Posts: 1,807 ✭✭✭older by the day


    I said my coop manager a year ago. That they were selling last years fertilizer at the new high prices. He said that he's was selling at the replacement price. I know of other lads got a lorry of fert thru the coop before the price went sky high. When " there wasn't a bag left"

    Well fuuuck him now. I'm going backing the pocket from now on. Calculate what the Cheapest price is. And go for that.



  • Registered Users Posts: 790 ✭✭✭Pinsnbushings


    I got a similar spiel from a local merchant..they agree on a volume of fertilizer they will take and then it is priced weekly apparently..in fairness he even made it sound believable as he said it at the time..funnily enough that doesn't seem to be the case this year as he's still north of 750/ton for everything.



  • Registered Users Posts: 3,905 ✭✭✭Dickie10


    i have 3 and 4 index pottassium and phospherous gound for grazing, he trick?would this need a compound fertiliser or would just nitrogen straight do the trick? on lands that are 2 index for pottassium whats a good all round fertilizer, most of the land is around 6-6.3 for ph



  • Registered Users Posts: 1,264 ✭✭✭weatherbyfoxer


    25kg of urea to the acre on your grazing ground be ideal,18.6.12 is a good all round fertilizer for lower indexes without seeing soil sample results or the ground itself



  • Registered Users Posts: 6,994 ✭✭✭kevthegaff


    Gas accountants told me to buy a good bit last year to help the tax bill as moving to company. Said I'd save 50 percent on price on tax, getting close to no saving now!!:-D



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  • Registered Users Posts: 18,661 ✭✭✭✭Bass Reeves


    An accountant bis an accountant. A farmer is a farmer. A business man is a businessman man. A trader is a trader. While sometimes the skillset are transferable it's not always the case.

    I never saw the case for buying fertlizer last year. The question I always ask people is '' when fertlizer was cheap( urea @350, Can @ 230) did you buy the next year's supply, because if you did not WTF would you forward buy at 1k+/ ton''

    Slava Ukrainii



  • Registered Users Posts: 5,034 ✭✭✭alps


    Your rationale is faulty.

    If you deemed there to be a risk of supply in the Spring, then you would have covered the period of risk that you could not do without fertiliser. Many did this. As it turned out, there was no need to have taken this cover, however the peace of mind alone was worth it.

    In the ops case, position taking before going into a company far outweiged the risk on product price. As the op says above, even though he ended up buying fertiliser at double the price he could have bought now, he still ended up in the same financial position.

    The final reason why people took position on fert last Autumn was because of the publicised implementation of the fertiliser register which was timed for Jan 1st.



  • Moderators, Society & Culture Moderators Posts: 3,206 Mod ✭✭✭✭K.G.


    The signals of price downturn were there last autumn



  • Registered Users Posts: 18,661 ✭✭✭✭Bass Reeves


    The tax assumption is deeply flawed. It would require the buyer having drawings only at less than there tax credits this year and all fertlizer costs to be at higher rate last year. The latter is a given. The former is unlikely that a farmer of that scale would not be using there 20% allowance every year. The saving in that case are in the order of 22/23%.

    Yes there may be tax reasons to do it (eg children getting to an age where tax allowances can be used), however all other tax efficiencies ( pension contribution etc) should have been used up first.

    As well the farmer should not have been in a company set up which many dairy farmer were.

    On the register any fertilizer bought after 15th September could not have been spread last year. In any inspection regarding the register this may come to light.

    Assumption is the mother of all f@@kups. Look at farmers that fixed a substantial amount of there milk. Thinking you will beat the market is often a flawed assumption. It takes certain trading skills and even really good traders lose everyone and again.

    I still make the case on a pure market analyst buying products when it was at a historically high price (250%+ of five year average and over triple of a the two year average) was deeply flawed.

    Slava Ukrainii



  • Registered Users Posts: 1,807 ✭✭✭older by the day


    It's easy to talk now. No harm getting a few extra pallets of fertilizer last year. With milk dropping it will cut a bit of cost this year. And who knows. What will happen this year yet with Putin shifting his nuclear missiles west the road. This time three years we were in the middle of a lock down. Last June we were told we could only buy up to a limit.

    So it's amazing how you know everything. I enjoy your posts. They irritate me but in a kind of good way



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  • Registered Users Posts: 2,477 ✭✭✭Jb1989


    You would need to be up very early to catch Bass out.



  • Registered Users Posts: 6,994 ✭✭✭kevthegaff


    I got a list of inputs such as lime, fert etc that I bought, put new tyres on the tractor. Are lads spreading atm, looks like heavy rain midweek or are they waiting. Haven't gone yet due to weather



  • Registered Users Posts: 5,034 ✭✭✭alps


    You're playing the innocent card on the fertiliser inspections here...

    Humour me on why a farmer shouldn't be in a company set up? You may still have time to save the half of dairy farmers who haven't made the transition....and no assumptions now..



  • Registered Users Posts: 11,223 ✭✭✭✭mahoney_j




  • Registered Users Posts: 18,661 ✭✭✭✭Bass Reeves


    I pointed it out last Autumn. I am not making easy talk now. Just like 5+ years ago I made the point that fixed price schemes were all to the advantage of the buyer's not to the producer.

    I do not have an issue with farmers in a company set up. But if they were there was absolutely no tax advantage in buying last year.

    Slava Ukrainii



  • Registered Users Posts: 1,023 ✭✭✭Jonnyc135


    I would hazard a guess and say fertiliser price would be still high and gas price would be still high if Europe didn't experience the abnormally mild winter they got, the EU can thank their lucky stars it wasn't harsh. I still stand by my decision to buy half last October, if a harsh or even normal winter came in Europe thi gs would have been a whole lot different.

    Gas price and security for the EU this winter will be a shitshow IMO. Don't know where the extra LNG will come from to fill the storage and at what cost.



  • Registered Users Posts: 1,762 ✭✭✭ginger22


    You must be a multi millionaire by now with all the expertise you have in hindsight. Pity all us mere mortals cant get it right. LOL



  • Registered Users Posts: 1,419 ✭✭✭Wildsurfer


    Bass is probably buying a couple of pallets of fertilizer in the year while the lads here forward buying would be looking at a couple of artic loads. Not much good Bass telling us here now oops I got that one wrong if fertilizer was scarce now. As alps said, peace of mind is worth alot. And the reason we didn't forward buy when fertilizer was cheap was because we were in a stable market, there was no need to.



  • Registered Users Posts: 8,611 ✭✭✭Mooooo


    Forward bought in Aug at 800 tonne. Reason was to secure supply because at time uncertainty was high and ability to do so was there. An area I was able to control. Didn't buy due to register coming in as everything I've bought can be spread.

    Grand talking now about it but when the farm is the sole source of income decisions are made with info at hand at the time



  • Registered Users Posts: 4,313 ✭✭✭Robson99


    Its easy be wise in hindsight. Only use 6 or 7 ton here a year but still got a pallet last Autumn to have for first round of grazing. Better to be looking at it than for it. The extra cost is not going to put me out on the side of the road, but I would be having a sweat now if it was difficult to get. I can sit back now and wait a few more weeks for it to drop further while those that didnt buy last Autumn will soo have to buy. It will nearly balance itself out



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  • Moderators, Society & Culture Moderators Posts: 3,206 Mod ✭✭✭✭K.G.


    Usually in farming decisions made to reduce tax are not smart ones overall.btw buying fert before december and not declaring it in stock in accounts at year end is fraud.



  • Registered Users Posts: 18,661 ✭✭✭✭Bass Reeves


    Ya I am. Most here are probably are. A 50 acre farm and a house are probably worth over a million nowadays. Being a millionaire is quite common nowadays. Nearly a quarter of a million households are worth a million+

    The larger buyer will always do better in any market. If supply is scarce he will get supplied first. At present he is buying at least 100+/ ton less than me.

    As Warren Buffet says when ever the sales are on in markets nobody buys but when stocks are expensive everyone wants them. There is no such thing as a stable market. The market was not stable when fertlizer was low in price two years ago. Fertlizer prices were falling and we had a situation where they fell out 100/ ton in twelve months to a new 10 year market low. That is not stability

    The lad buying a couple of artic's is looking at anything from 25-35k of a mistake. Ask the lads that had fixed price milk contracts about peace of mind. Fixing one part of you input or output is seriously stupid.

    Ya if tax is the reason then buy because of that. I did that once or twice but when fertlizer were at low prices not at historically high prices.

    Hindsight is 20/20 vision. Hindsight last autumn would tell you fixing an input without fixing a section of the output price was a serious risk. If you can fix one and hedge the other then yes do it. If you cannot it's gambling not risk reduction. I pointed that out as well when this rise it head last autumn.

    I would not consider it fraud. If the revenue wanted to clamp down on it they would have done it years ago similar to lads adjusting stock number values to help with a tax ssue in the long-term.

    Post edited by Bass Reeves on

    Slava Ukrainii



  • Registered Users Posts: 1,762 ✭✭✭ginger22


    Agree with you on the fixed milk price. Crazy to fix your selling price without fixing input price. Never did it myself. In fact when Kerry first came out with the scheme I said at a meeting that it was ridiculous to expect lads to sign up. It was only protecting Kerrys margin not the farmers.

    Regarding the fertilizer purchases last Autumn. I did buy 25 ton of Amonium Sulphate from China and 25 ton of Urea from Turkey, assume the urea originated in Russia. That should do me for the year as we dont use a lot with the foliar feeding.



  • Registered Users Posts: 1,023 ✭✭✭Jonnyc135


    How does the importation/haulage cost and duties work out for that type of a purchase.



  • Registered Users Posts: 1,762 ✭✭✭ginger22


    Well the shipping costs have come way down from peak. Around 1750 for 20' container. No vat, duty about 5 %



  • Registered Users Posts: 965 ✭✭✭Count Mondego


    700 for a ton of Urea in the west. That's down 150 quid in three weeks.



  • Registered Users Posts: 1,023 ✭✭✭Jonnyc135


    That's good going and far cheaper than a container over a year ago - fair play taking the chance on it, have you received the urea yet if so what is the quality like, are the prills the same size etc.



  • Moderators, Society & Culture Moderators Posts: 3,816 Mod ✭✭✭✭Siamsa Sessions


    CAN is €690 and 18-6-12 is €780 in Waterford this morning. They're expecting it to drop €50 in the next week. Independent merchant.

    Trading as Sullivan’s Farm on YouTube



  • Registered Users Posts: 18,661 ✭✭✭✭Bass Reeves


    Demand for CAN, 18-6-13 and pasture/ cut is only starting now for grazing. New stock would only be appearing now. But even the prices you quoted nearly 200/ ton in the case of CAN and 100+/ ton I. The case of 18's cheaper than 2 months ago.

    Buy only as you need as much as possible

    Slava Ukrainii



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  • Registered Users Posts: 6,994 ✭✭✭kevthegaff


    I normally buy a load or 2 for the following year if it looks cheap. First year I got caught really, at least by May when I need more it will have came back even more. One thing I hated about being a sole trader is having to buy those amounts in December when the money mightnt be there for tax. Company structure hopefully will make it easier to make those decisions



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