The approach to setting domestic prices for mineral fertilizers in the Russian Federation has been the subject of many years of discussion between mineral fertilizer producers, agricultural producers and regulators.
Profercy/MRC consider it necessary to consider the possibility of introducing a balanced pricing model, which, on the one hand, would take into account the conjuncture of the global market for mineral fertilizers and agricultural products, and, on the other hand, would not reduce the efficiency of business indicators and foreign exchange earnings. The model should ensure the sustainable development of mineral fertilizer producers and agricultural producers within a dynamic inter-industry balance, take into account changes in duties, exchange rate volatility, current and future world prices for mineral fertilizers and agricultural products, being a reliable tool for identifying price anomalies. In addition, the model should have the ability to dynamically balance depending on the global market conditions without human intervention.
Profercy has established itself as the leading independent supplier of global mineral fertilizer prices. Publishes daily market updates covering bids and tenders, bids and offers. Conducts weekly market and price analysis: 45 quotes for nitrogen fertilizers (urea, ammonium nitrate, UAN, ammonium sulfate, ammonia); 70 quotes for phosphate fertilizers (DAP, MAP, NPK, phosphate ore); 30 potash quotes (MOP, SOP and NOP). Profercy also publishes short-term and long-term forecasts for urea, ammonia and phosphates. Profercy has been servicing formula contracts since 2005 for urea, UAN, DAP and MAP. These are the main traded products with a physical turnover of more than 50 million tons per year. Profercy works with manufacturers from Russia, including Acron, Eurochem, Phosagro, Uralkali. Profercy is a member of the International Fertilizer Association (IFA).
Today, on the basis of Profercy quotes (together with ICIS), a global derivatives market for mineral fertilizers was created on the Chicago Mercantile Exchange (CBOT / CME). Trade execution is available in the form of clearing swaps and futures contracts. Expiry is based on a daily Profercy/ICIS index to ensure greater availability and consistency. Liquidity: OTC market participants can switch to cleared futures on CME Globex and CME ClearPort. Contracts are for 12 months with a minimum block limit of two contracts. Cross margin and leverage available through CME Clearing. The world experience of Profercy for the market of derivatives can be transferred to the Russian market of mineral fertilizers.Get report