Phosphate rights auctioned for record price

Last week, during an internet auction, phosphate rights were auctioned for a record price of €237 per right. The price includes auction costs of 1,5%.

Leon Veltman says on behalf of Fosfaatrecht.nu that a total of 8 bids have been made on the lot. More than 70 bidders were online during the auction, while the ad was viewed more than 3.500 times. The plot size was 200 kilos of phosphate.

Rapid price increase
In a relatively short time, the price of phosphate rights rose quickly; since the beginning of June, the rights are structurally traded for amounts above €200 per right. After that, the DCA quotation, with some fluctuations, rose to €230,50 per right (weekend 33).

In the regular market, rights are currently traded for €235, Veltman says. The price increase signals that there is a lot of demand and that dairy farmers often do not have the time to calmly wait for market movements. Veltman has the impression that the majority of dairy farmers pay for the rights from their own financial resources.

Wouter Job

Wouter Baan is editor-in-chief of Boerenbusiness. He also focuses on dairy, pig and meat markets. He also follows (business) developments within agribusiness and interviews CEOs and policymakers.

w.baan@boerenbusiness. Nl

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