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Downstream Inventory Update

November 30, 2012
By: Davis Michaelsen, Pro Farmer Inputs Monitor Editor

Downstream inventories will be the key to nutrient pricing in the coming months. Much of the fall application season has been covered by inventories already on hand, and retailers across the Midwest are reporting they plan to replenish inventories 'as-needed'.

One North Dakota retailer estimated his current inventory around 10% which is marginally lowerinventorywaits than in years past, but is comfortable making restock purchases on a 'hand-to-mouth' basis for the time being.

Like much of the rest of the World, Midwestern nutrient retailers are waiting to see what prices do after the first of the year, hoping for a wintertime softening. Technical data supports a dip just after the first of the year and many will be targeting that dip to resupply in a buyer's market.

                                                                                         Photo credit: Lightmash / Foter / CC BY-NC-SA


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