Suppliers reassure farmers about urea

Farmers have started seeking quotes and placing orders for urea up to four months early, with plenty of supply expected for this season.

Farmers are getting their fertiliser orders in early in a bid to avoid a repeat of last year’s urea shortage.

But, while many growers may still be reeling from the shortage that hit last season, suppliers say there is enough around for the 2024 crop.

Southern Grain Storage director Campbell Brumby said supply was available, with a price range of $600 to $700 a tonne.

However, he said there had been a lot of correspondence from farmers who wanted to secure supplies given the shortages last year.

Farmers wanted to get in early for pre-drilling so it could be mixed with starter blends.

“What we are seeing is farmers seeking quotes earlier than they normally would; they are contacting us earlier than the normal supply window,” he said.

Mr Brumby said he had been urging growers to relax, and there was enough supply of urea worldwide to fill the demand.

Farmers start seeking urea fertiliser early. Picture: iStock

Victorian Farmers Federation grains group president and Berriwillock farmer Craig Henderson urged growers to talk to their suppliers about upcoming orders for 2024.

“Get a commitment from the supplier and know it is there,” he said.

Mr Henderson said he had some urea stored on the farm but would likely seek more before the cropping program started.

“Depending on where they are, people will start supplying urea towards the end of April, and then it will be applied right through until September,” he said.

Given the shortage last year, Mr Henderson said it was a lesson in being prepared for the upcoming crop.

Victorian Farmers Federation grains group president and Berriwillock farmer Craig Henderson. Picture: David Geraghty

Rod Dennis of Dennis Trading in Wagga Wagga said he had some urea stored but wasn’t sure if it was enough.

“Unfortunately, it can be one of those things where you don’t know until you run into a problem,” he said.

He tipped that urea would cost about $700 to $730 (delivered) in the Riverina region.

“At this stage, we are confident enough, and I think we will have enough,” he said.

Globally, market prices for urea have kicked by $30 to $40/tonne in the past week.