Key facts
- Lifosa, Eurochem's phosphate plant in Lithuania, has suspended all production.
- The plant's annual capacity includes 1 million tonnes of DAP/MAP/NPS.
- High raw material costs are cited as a reason for the suspension.
- DAP prices in Europe increased following the news, but demand is weak.
- Morocco's OCP sold DAP/MAP at a lower price point.
Lifosa, a phosphate plant in Lithuania owned by Eurochem, has suspended production across all its products, according to Argus. The producer could not directly confirm the suspension, which follows earlier reports that the plant was preparing to cease operations due to high raw material costs.
The plant has a significant annual capacity, including 1 million tonnes of DAP/MAP/NPS, 220,000 tonnes of MCP feed phosphate, and 35,000 tonnes of tMAP.
The news of Lifosa's suspension contributed to an increase in DAP prices across Europe in the final week of July. However, demand for the product is currently weak, with offers at €870/t free carrier (fca) in Germany and Benelux failing to attract interest. In contrast, Morocco's OCP recently sold 8,000 tonnes of DAP/MAP at a price equivalent to the low to mid-€850s/t fca west European seaports.