Clean Ammonia Market Growth and Fertilizer Industry Outlook slide image

Clean Ammonia Market Growth and Fertilizer Industry Outlook

Crop prices remain elevated while fertilizer costs have eased, supporting healthy grower margins Key Crop Grower Cash Margins¹ Local Currency Margin/Acre US Corn Cash Selling Price & Costs³ US$/bu US Corn US Soybeans US Wheat US Cotton CAN Canola BRZ Soybeans² 700 5,000 $8.00 4,500 600 $7.00 4,000 500 3,500 $6.00 400 3,000 $5.00 2,500 Margin ($/bu) 300 2,000 $4.00 200 100 1,500 $3.00 1,000 500 $2.00 $1.00 -100 2019 2021 2023F 2019 2021 2023F 2019 2021 2023F 2019 2021 2023F 2019 2021 2023F 2019 2020 2021 2022E $0.00 2023F 2011 2013 2015 2017 2019 2021 2023F 4 Chemicals Seed Fertilizer Other Costs -Corn Price 1234 Brazil is local currency margin/hectare on right-hand side vertical axis, while the rest of the crops reference US dollar margin/acre on the left-hand side vertical axis. 2. 3. Due to crop year timing in Brazil the 2022 references the 2022/23 crop year, which was planted in Q3 & Q4 2022 with growers realizing returns in 2023. The 2023F references the 2023/24 crop year. Annual cash costs on a per bushel basis are impacted by both realized inflation/deflation and by the annual corn yield. Includes cash rent and with other variable costs such as fuel, energy, and repairs. 16 Source: USDA, IMEA, Bloomberg, ICE, FAO, IFA, Nutrien
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