The supply of Replacement Processing Agreements (VVOs) remains tight. As a result, prices are rising and €2,50 per kilo of phosphate is in sight. It is remarkable that more business is done every week.
Although the trade in the VVOs is held back by limited supply, the number of transactions is steadily increasing every week. This is evident from the DCA collection contributions. The price is also increasing and rises in week 37 to an average of €2,06 per kilo of phosphate, with a range of €1,50 to €2,50 per kilo of phosphate.
Price by the €2
It is the first time since the start of listing that the price has broken through the €2 barrier. It is still difficult to say what the top end of the price will be this year. This is due to the fact that it is not clear how the processing capacity has developed. Another question mark is how the total amount of phosphate will work out, partly as a result of the new sampling method (this is done by third parties).
The danger of a further price increase is therefore certainly realistic, because there is still a lot of wiggle room between the current price and a fine of €11 per kilo of phosphate. This fine is for failure to comply with the processing obligation.