Unable to access goods from Russia and Belarus, potash buyers return to Canada. The province of Saskatchewan has some of the largest deposits in the world
The Russian invasion of Ukraine has significantly increased the risk of a global food crisis, the Global Network Against Food Crisis (an initiative launched by the European Union, the FAO and the World Food Program) recently recalled. Last Global Report on Food Crisis. Ukraine and Russia, in fact, are exporters of the weight of wheat and barley, two grains, however, have not been able to reach markets due to war and sanctions. Along with Belarus, its ally Russia also plays a key role in the production of fertilizers for agriculture, but cannot sell them due to economic retaliation by the West. As supply has declined, the price of fertilizers has risen sharply.
Potash, a compound used by Russia and Belarus in potash fertilizers, accounts for about 40 percent of global production and exports of potash used to grow corn and soybeans. Unable to obtain supplies from Moscow and Minsk, potash buyers return to other countries: Canada, Primary.
Possibilities of Saskatchewan
Bronwyn Eyre, energy minister for the province of Saskatchewan in western Canada, said the region was attracting “renewed interest” due to the world’s largest potash deposit. Iyer – Reports Bloomberg – The local government is working with companies to promote higher production of the mineral, but said it will take some time.
The largest potassium mine in the world
Saskatchewan contains about 1.1 billion tons of potassium oxide, which Minister Ire considers to be sufficient to meet global demand for hundreds of years. Only a small portion of the deposit is being exploited at the moment: the province has ten mines managed by K + S Potash Canada, Mosaic and Nutrien, which produced 14.2 million tonnes of potash last year. Mining company BHP Group plans to build a $ 5.7 billion project to open the world’s largest potash mine in Saskatchewan.
Movement of Nigeria
Unable to receive supplies from Russia due to sanctions, Nigeria is in April Purchased Potash emergency supplies from Canada. Nigerian officials did not disclose the value of the transaction, but the specialty products portal reported that the price of potash in the spot market for delivery to West Africa was 250 percent higher than last year. Arcus: Over $ 1100 per tonne.
Usually, he writes ReutersNigeria buys five loads of Russian potash a year: it receives goods exclusively from the Urals, which is not allowed, but is controlled by Russian President Dmitry Masebin, yes.
Exports from Canada – three in total – are expected to arrive in June. The sowing season begins in late May in some parts of Nigeria.
In March, Nutrien, a Canadian fertilizer company, became active in potash production in Saskatchewan. Announced Potash production increased by 1 million tonnes to a total of 15 million tonnes. However, despite the market demand, it can not be further expanded: it is really necessary to increase the output, increase the number of active machines on the sites, assess the maintenance and all safety risks.
Canada supplies the United States with all the potash that is already used in the United States, and cannot compensate for that Interval Russia and Belarus between economically isolated global supply and demand.
Nutrient said it is increasing nitrogen production for fertilizers and raising the lower price of natural gas in North America compared to Europe. By 2021, Russia will be the world’s largest exporter of nitrogen products.
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