Phosphate rock

(Data in thousand metric tons, unless noted)

Domestic Production and Use: Phosphate rock ore was mined by 10 firms in 4 States, and upgraded into an estimated 45.5 million metric tons of marketable product valued at about $1 billion, f.o.b. mine. Florida and North Carolina accounted for about 85% of total domestic output, with the remainder produced in southeastern Idaho and northwestern Utah. Approximately 88% of U.S. phosphate rock demand was for conversion into wet-process phosphoric acid and superphosphoric acid used principally as intermediates in the manufacture of granular and liquid ammonium phosphate fertilizers for domestic consumption and export. About 50% of U.S. wet-process phosphoric acid production was consumed for exports in the form of upgraded granular diammonium and monoammonium phosphate fertilizer materials, triple superphosphate fertilizer, and as merchant grade phosphoric acid. Industrial applications accounted for about 6% of U.S. phosphate rock demand, while another 6% was directly exported, principally to countries in the Far East and Western Europe. Calcium phosphate animal feed supplements, essential to livestock nutrition, were derived from defluorinated phosphoric acid and defluorinated phosphate rock, while purified phosphoric acid was used in a variety of industrial applications. Phosphate rock was mined by three western firms as feedstock for high-purity, industrial-grade elemental phosphorus manufacture in wholly owned electric furnace facilities in Idaho and Montana. Hydrofluosilicic acid and oxides of uranium and vanadium were recovered as value added byproducts of phosphate manufacture.

Salient Statistics–United States:
1991 1992 1993 1994 1995e/
Production1/  48,100 47,000 35,500 41,100 45,500
Sold or used by producers 44,700 45,100 40,100 44,100 44,800
Imports for consumption 552 1,530 1,430 1,800 1,800
Exports 5,080 3,720 3,200 2,800 3,000
Consumption2/ 40,200 42,900 38,300 43,100 43,600
Price, average value, dollars per ton, f.o.b. mine3/ 23.06 22.53 21.38 20.42 20.50
Stocks, producer, yearend 10,200 12,600 9,220 5,980 6,500
Employment, mine and beneficiation plant 5,900 5,800 5,600 5,000 5,000
Net import reliance4/ as a percent of apparent consumption E E 4 5 E

Recycling: None. Limited to phosphate rock conversion products.

Import Sources (1991-94): Morocco, 99%; and other, 1%.

Natural calcium phosphates:
Tariff: Item Number Most favored nation (MFN)
12/31/95
Non-MFN5/
12/31/95
 Unground  2510.10.0000 Free Free
 Ground 2510.20.0000 Free Free

Depletion Allowance: 14% (Domestic), 14% (Foreign).

Government Stockpile: None.

Prepared by Phosphate Rock Specialist, (703) 648-7711.

PHOSPHATE ROCK

Events, Trends, and Issues: The U.S. phosphate industry continued to experience favorable economic trends in 1995, associated with a sustained period of supply-demand balance that commenced during 1994. Phosphate rock mines were operating at 90% of capacity and wet-process phosphoric acid and elemental phosphorus plants at near 100% owing to favorable demand. Ammonium phosphate plants operated at 95% of capacity to satisfy strong export demand. U.S. planted crop acreage and domestic fertilizer consumption are expected to increase significantly between 1995 and 1996
owing to below normal grain inventories at the domestic and global levels. Balanced phosphate supply-demand conditions at the global level were favored by a combination of restricted production and relatively low grain inventories.

Major restructuring of the domestic phosphate industry continued into 1995, as evidenced by the acquisition and consolidation of mines and plants in North Carolina and northern Florida by a major Canadian potash firm, together with the acquisition and consolidation of a new mining operation in central Florida by an existing U.S. phosphate producer. In a related move, an emerging force in the fertilizer industry based in western Canada purchased a phosphate fertilizer production facility and phosphate rock reserves near Soda Springs, ID. A new 3.2-million-ton-per-year mine at South Pasture in Hardee County, FL, commenced operations in the fall of 1995. Production from the new mine supplied phosphate rock to a wholly owned conversion facility at Plant City, FL.

World phosphate rock production increased substantially compared with output in 1994.

Mine production Reserves6/ Reserve base6/
1994 1995e/
United States  41100 45500 12000000 4400000
Brazil 3940 3900 330000 370000
China 26000 27000 210000 210000
Israel 4000 4000 180000 180000
Jordan 4220 5000 90000 570000
Kazakstan 2080 2500 100000
Morocco and Western Sahara 19800 20000 5900000 21000000
Russia 7920 8500 1000000
Senegal 1600 1500 160000
South Africa 2550 3000 2500000 2500000
Togo 2150 2400 60000
Tunisia 5700 6500 270000
Other countries 6960 7500 1000000 2500000
World Total (rounded) 128000 137000 11000000 34000000

World Resources: Phosphate rock resources occur principally as sedimentary marine
phosphorites. Significant igneous occurrences are found in Russia and South Africa.
Large phosphate resources have been identified on the continental shelves and on sea
mounts in the Atlantic and Pacific Oceans.

Substitutes: There are no substitutes for phosphorus in agriculture.

e/Estimated. E Net exporter.
1/Marketable.
2/Defined as sold or used + imports – exports.
3/Marketable phosphate rock, weighted value, all grades, domestic and export.
4/Defined as imports – exports + adjustments for Government and industry stock
changes.
5/See Appendix B.
6/See Appendix C for definitions.