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%. Tariff: Item Number Most favored nation (MFN) Non-MFN5/ 12/31/95 12/31/95 Natural calcium phosphates: 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. World Mine Production, Reserves, and Reserve Base: Mine production Reserves6/ Reserve base6/ 1994 1995e/ United States 41,100 45,500 1,200,000 4,400,000 Brazil 3,940 3,900 330,000 370,000 China 26,000 27,000 210,000 210,000 Israel 4,000 4,000 180,000 180,000 Jordan 4,220 5,000 90,000 570,000 Kazakstan 2,080 2,500 -- 100,000 Morocco and Western Sahara 19,800 20,000 5,900,000 21,000,000 Russia 7,920 8,500 -- 1,000,000 Senegal 1,600 1,500 -- 160,000 South Africa 2,550 3,000 2,500,000 2,500,000 Togo 2,150 2,400 -- 60,000 Tunisia 5,700 6,500 -- 270,000 Other countries 6,960 7,500 1,000,000 2,500,000 World total (rounded) 128,000 137,000 11,000,000 34,000,000 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. Mineral Commodity Summaries, January 1996