Trade and finance as cross-cutting issues in the global phosphate and fertilizer market

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.