Bloomberg reported that Uralkali believes that China is reluctant to sign long-term contracts, and may switch to the spot market.
Articles Tagged "potash futures"
India is just one of the many nations in the world dealing with a food crisis. While the country is experiencing unprecedented population growth, the amount of arable land is shrinking, thereby increasing the need for fertilizers.
Potash prices were on the upswing in the latter half of 2010, and have amplified this trend so far in 2011, buoyed by strength in the grain markets.
Despite uncertainty over the stability of the global economic recovery, the fertilizer market is holding up very well, and will be buoyed over the coming years by supply shortages.
Knowing very well that economic troubles may lie ahead, executives of major fertilizer companies have stood firm in claiming that their industry is well-positioned to withstand a bumpy ride, and claim that it will take a “severe and prolonged” global recession to crimp fertilizer demand.
Bloomberg reports that OAO Uralkali (LON:URKA) reported that Belarusian Potash Co. increased prices for India by 32 percent because of a shortage of the soil nutrient.
Bloomberg reports that OAO Sberbank will receive 35 percent of Belaruskali, the Belarusian potash producer, as collateral for a $2 billion loan.
Canpotex and India have finally come to a six-month deal in which India will pay, at least at the onset, $470 per tonne including freight, for potash, approximately the same rate that China is paying.
The June vote by the US Senate to stop ethanol subsidies has raised concerns about the impact the decision may have on the potash market.
Rumours are spreading that a state-owned Chinese company may come forward with a purchase offer for Belarus’ prized asset, potash miner Belaruskali.