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US set to become urea self-sufficient on fertiliser capacity boom

US nitrogen fertiliser capacity has boomed in recent years as natural gas costs have decreased. According to a new report from Rabobank – A Shale Tale: The aftermath of the US Nitrogen Fertiliser Boom - the US nitrogen fertiliser market is now reaching a point of saturation, as announced capacities are expected to come online in the next few years. Market saturation, increasing fixed and variable costs for production make further capacity additions in the short term unlikely.

However, the recent rapid capacity expansion could see the US become self-sufficient in urea—a key nitrogen fertiliser—as soon as 2017. In the long term, further increases in US nitrogen fertiliser capacity should not be ruled out.

Click here to read the complete article at rabobank-food-agribusiness-research.pr.co