NFL urea tender acceptances total 1.17mn t: Update

Adds table and breakdown of tender acceptances

Indian fertilizer importer NFL is in line to buy up to 1.17mn t of urea under its 29 August tender.

For the east coast, 10 firms appear to have agreed to supply just over 730,000t of urea, while two suppliers have committed to delivering 440,000t to the west coast.

Suppliers had until 16:00 IST (11:30 BST) today to accept NFL's counter of $340/t cfr west coast and $349.88/t cfr east coast.

Ameropa submitted the initial lowest offer of $349.88/t cfr and is set to ship the most to the east coast, at just over 136,000t. Aditya Birla and Sun International have accepted 100,000t and 95,000t, respectively. The full breakdown of acceptances is listed in the table below.

Meanwhile, Fertistream has accepted 40,000t of urea for the west coast, and OQ will ship 400,000t to the west coast after it submitted the lowest offer at $340/t cfr.

The prices are set to weigh most heavily on Russian fob prices, with east-of-Suez origins less affected. Netbacks from India broadly reflect urea in the mid-$280s to $290/t fob Baltic spanning both coasts, marking a sharp drop from prices for prilled urea at $295-310/t fob last week.

Prices out of the Middle East equate to $323-330/t fob for both coasts, a slight softening from last week's price of $325-335/t fob. Potential southeast Asian netbacks would be around $325/t fob to the east coast, if accepted, down from the granular urea assessment of $330-335/t fob last week.

By Harry Minihan