While North American potash producers calculate how much product is yet needed for this season without oversupplying the market, other manufacturers are importing product. “That could put some pressure on Canadian producer prices and keep the market from taking off this spring,” says Scott Manwarren, domestic product manager for CHS.
International suppliers have recently said they are importing vessels of potash, and are taking orders for April and May delivery, with prices quoted in the range of $420 to $430 per short ton delivered by rail, says Manwarren. “This imported product, by rail or barge, could hold potash prices from moving significantly higher.”
Last week Mosaic, Agrium and PCS upped their prices for granular product by $30 per short ton, to $420 per short ton ex-terminal for April shipment.
Sales of potash have been fairly strong in the last few months. According to PCS, the company’s potash sales volume in North America for the first three weeks of this year was better than sales for the first eight months of 2009.
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