3/12/2026 at 2:37:46 AM
Yes urea is used in fertilizer. Yes, the price is going up relative to May 13, 2024 (lowest in 5 years).look at the chart in the article, then click 5Y on the bottom of the chart.
Click the + sign between the calendar and wrench icon
Type in "US Food inflation". It will overlay the "urea" price with the "US food inflation".
Yes, urea seems to be a leading indicator. It is nothing like in 2022, yet.
by WaitWaitWha
3/12/2026 at 3:06:51 AM
Yes, it is nothing like 2022 yet. But the concerning thing is that this may be just a beginning of a protracted event, plus the world, and especially Western Europe, is less resilient today to the disruptions in gas supply.by D_Alex
3/12/2026 at 7:12:09 AM
One of those is an absolute value (urea $) and one is a rate of change (food price inflation). Maybe I’m being dumb, but why are they tracking almost 1:1, both with linear Y axis?I can compare Urea $ to Crude Oil $ and get an even closer 5 year correlation. Are we actually indexing against something else here?
Edit: that is, perhaps urea prices are driven mostly by energy costs, which in turn drives inflation rates.
by rhplus
3/12/2026 at 8:16:11 AM
Yes. Nat gas -> ammonia -> urea. Theres some efficiencies that vary by site but its a hundred year old process of a true commodity. The price per therm _is_ the input.Was listening to a fertilizer analyst the other day. She thought corn:urea was the better comparison. Nitrogen is the cost of marginal yields. And corn:urea shows the farmer being squeezed between their commodity output price and the required input cost. At some point its just not cost effective to grow corn, so you go soy, and reduced supply should pish up future prices. Oh look! More commodity price inflation pressure!
by donavanm
3/12/2026 at 2:45:53 AM
> 2022And that was specifically due to the (ongoing) Russian Invasion of Ukraine. After the 2022 spike, most large countries began building alternative supply chains to reduce impacts from these kinds of hits.
For example, the US and Europe largely doesn't use urea unlike Brazil, India, and China.
This is also why Asian countries have been investing heavily in Hydrogen energy despite HN's hate boner to the technology.
Edit: can't reply
> Is it really hydrogen energy if your plan for the hydrogen gas is turning it into ammonia? Would give you another use for it, I suppose
The whole point of building a hydrogen energy market is becuase hydrogen electrolyzers are dual use, and the methodology to leverage and produce "green" ammonia is similar to "green" hydrogen.
A non-LNG method to mass produce ammonia has always been called out in most countries Hydrogen energy roadmaps such as Japan [0], China [1], and India [2].
[0] - https://grjapan.com/sites/default/files/content/articles/fil...
[1] - https://rmi.org/wp-content/uploads/dlm_uploads/2022/09/china...
[2] - https://www.adb.org/sites/default/files/publication/1033081/...
by alephnerd
3/12/2026 at 11:52:55 AM
A lot of the hate for hydrogen is for a vehicle fuel where it's strictly inferior to batteries, partly because it's such a pain to handle, and partly because it's a "submarine" for natural gas derived H2.Evolving hydrogen from electrolysis and then immediately turning it into ammonia is a much better idea; ammonia is easier to handle than H2 gas and already has a market.
by pjc50
3/12/2026 at 8:51:56 AM
The Economist was recently citing hydrogen as "deep tech" [1] (meaning long R&D cycles, sometimes unproven techniology no short term profitability, heavy investment, industry-wide transformative power).Most of your sources have plans focused on hydrogen production, but I'd be interested to see specific targets or plans regarding specific uses like fertilizers. There are some in the Hydrogen Roadmap Europe, but it seems focused on transportation [2].
[1] - https://www.economist.com/business/2026/03/01/at-last-reason... [2] - https://www.clean-hydrogen.europa.eu/media/publications/hydr...
by pm3003
3/12/2026 at 1:59:11 PM
> I'd be interested to see specific targets or plans regarding specific uses like fertilizersIt's primarily in Asia and North Africa. For example, India has begun building a 7GW green hydrogen project specifically for urea production [0] and as a technical demonstration. An Egypt-Germany-Norway JV is also expected to be completed by 2027 explicitly for this usecase [1]
[0] - https://fuelcellsworks.com/2026/02/04/fuel-cells/india-s-7gw...
[1] - https://www.thyssenkrupp.com/en/newsroom/press-releases/pres...
by alephnerd
3/12/2026 at 3:09:26 AM
Is it really hydrogen energy if your plan for the hydrogen gas is turning it into ammonia?Would give you another use for it, I suppose.
by extraduder_ire
3/12/2026 at 7:23:03 AM
There were plans to build a hydrogen plant near Whyalla in South Australia, a famous steel-making site; see e.g. [1]. The tl;dr uses were export (I expected ammonia but the whole thing was vague enough to include hydrogen) on boats, reduction of iron ore ("decarbonisation", apparently requires magnetite) and while all the financial engineering that didn't happen was going to happen, energy storage for the grid, soaking up S.A.'s over-abundant solar.Someone observed that this was the entirety of the presently-outgoing (but sure to be re-elected) state regime's story about reducing electricity bills in the state.
[1] https://research.csiro.au/hyresource/south-australian-govern...
by discarded1023
3/12/2026 at 2:47:16 AM
It looks like it's been pretty stable for three years, after what looks like a spike in the end of 2021.I can't see past 5Y without paying, so I don't know if the past three years was an abnormal low, or if that's the regular cost.
by pavel_lishin
3/12/2026 at 3:08:57 AM
2022 was abnormally high, caused largely by the disruption of gas supplies to Western Europe after sanctions on Russian gas and the destruction of the Nordstream gas pipeline.by D_Alex
3/12/2026 at 4:35:14 AM
:( Food is already so expensive in Canada. It doesn’t seem like it ever recovered after 2022.by VladVladikoff
3/12/2026 at 2:51:20 AM
Really interesting. It made me curious to dig in and learn that urea production starts with natural gas. And if you add natural gas to the chart as well urea and natural gas prices generally track together without a lag either way, except natural gas doesn't have the recent uptick seen in urea.I guess the recent move in urea likely isn’t coming from energy costs, something fertilizer-specific, exports, shipping, or supply?
Or it's just noise \_(ツ)_/
by mkw5053
3/12/2026 at 3:02:05 AM
> I guess the recent move in urea likely isn’t coming from energy costs, something fertilizer-specific, exports, shipping, or supplyOne of India's SOEs recently paused Urea production at some plants due to NatGas issues from the ongoing conflict [0].
Additonally, India began reducing purchasing of Russian LNG in late 2025.
India also launched a tender to purchase urea on the global market in February [1].
This led to a double whammy for urea in the short term given how Indian agriculture is heavily Urea dependent (around 70-80% of all fertilizers used in India are Urea).
But the same SOE recently announced it's restarted operations earlier today [2] and India has restarted spot purchases of what appears to be Russian LNG [3][4] that was originally destined for Europe (especially Hungary and Slovakia).
Edit: can't reply
I'm not a god damn LLM and I do not use AI to write my comments. If you can't engage with an argument, then fuck off.
[0] - https://www.tribuneindia.com/news/punjab/gas-shortage-halts-...
[1] - https://www.rfdtv.com/india-urea-tender-tightens-global-fert...
[2] - https://www.tribuneindia.com/news/bathinda/nfl-bathinda-plan...
[3] - https://www.reuters.com/business/energy/india-securing-addit...
by alephnerd
3/12/2026 at 6:11:44 AM
[flagged]by gritspants
3/12/2026 at 8:05:21 AM
What is a WITCH or AFS?by dfc
3/12/2026 at 3:36:57 AM
[flagged]by gritspants
3/12/2026 at 6:59:45 AM
Not sure which natural gas that’s referencing, but looks to be a US index (Henry Hub or so) - note the peak corresponds to a cold snap, not the Iran war. Natgas is tricky because it’s: difficult to store and difficult to transport (aside from well-established pipelines), so you have a massively disjointed market between various deliver markets (look at NY Henry Hub vs Dutch TTF), and also a massively disjointed market between delivery delivery dates (natgas calendar spread trades has been nicknamed “widowmakers”)by paj26