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Trade and Finance as Cross-Cutting Issues in the Global Phosphate and Fertilizer Market

  • Olaf Weber
  • Jacques Delince
  • Yayun Duan
  • Luc Maene
  • Tim McDaniels
  • Michael Mew
  • Uwe Schneidewind
  • Gerald SteinerEmail author
Chapter

Abstract

This chapter provides an overview of trade and finance issues in the global phosphate and fertilizer market. First, we analyze global trade dynamics affecting fertilizers and their raw materials. Secondly, we present factors that influence fertilizer prices. Based on these analyses, we infer that prices for raw materials, energy and transport costs, supply and demand, subsidies, trade and finance, the supply chain, regional influences, the food price, and fertilizer substitutes all influence fertilizer prices. Our analyses also show that, since 2007, the volatility of commodities significantly increased and strongly affected fertilizer purchases for crop production. Finally, we propose case studies to analyze challenges and opportunities related to phosphate and fertilizer markets and their sustainability implications.

Keywords

Global phosphate trade Price dynamics of phosphate rock The 2008 price peak Food commodity prices 

Notes

Acknowledgments

We thank D. Ian Gregory, Melih Keyman, and Roland W. Scholz for important comments on earlier drafts of the paper.

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Copyright information

© Springer Science+Business Media Dordrecht 2014

Authors and Affiliations

  • Olaf Weber
    • 1
  • Jacques Delince
    • 2
  • Yayun Duan
    • 1
  • Luc Maene
    • 3
  • Tim McDaniels
    • 4
  • Michael Mew
    • 5
  • Uwe Schneidewind
    • 6
  • Gerald Steiner
    • 7
    Email author
  1. 1.University of WaterlooWaterlooCanada
  2. 2.AGRILIFE Unit (IPTS—JRC, EC), European Commission, Joint Research CentreSevillaSpain
  3. 3.Former Director, General-International Fertilizer Industry Association (IFA)Saint-Germain-en-LayeFrance
  4. 4.The University of British Columbia (UBC Vancouver)VancouverCanada
  5. 5.CRU International-ConsultantCondomFrance
  6. 6.Wuppertal Institute for Climate, Environment and EnergyDöppersberg 19WuppertalGermany
  7. 7.Harvard University, Weatherhead Center for International Affairs (WCFIA)CambridgeUSA

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