A market expert says the new spike in nitrogen prices is because of the natural gas supply issues in eastern Europe. Josh Linville with Stone X says Russia has been cutting supplies and gas prices have been rising. “Prior to the Russian invasion of Ukraine when all of those prices went nuts last year, their typical price was in the single digits. This week, we saw that price go over $80 in MMBTU equivalent.”
And with the high natural gas prices, Linville says fertilizer producers have reached the breaking point.