The trade in phosphate rights is progressing well according to the seasonal trend. Rights are being traded, but the demand is not great. Sellers often have a wait-and-see attitude. What is expected of the price in the near future?
The trade in phosphate rights is relatively quiet. Some rights are traded every week, but it is not going very well. This is partly due to hesitant sellers who are not yet marketing the rights at the current price level.
There is some demand in the market, although traders are certainly not being bombarded. The DCA quotation of purchasing rights increases this week by €1 to €128 per right. The price is €2,50 higher than in the same period last year. The trade in leasing rights is not yet popular.
Expectation
The trade in phosphate rights remains difficult to predict. There are positive developments on the dairy market. Dairy quotations have been on the rise for some time, but a number of milk prices are now also showing a cautious increase. Arla even significantly increased the milk price for April.
This may offer prospects for the phosphate rights market and it is quite possible that the phosphate rights price will rise somewhat as a result. On the other hand, there are also periods coming up for dairy farmers due to the spring work and priorities may lie elsewhere than when purchasing phosphate rights.