Why is there a potash shortage?
A fertilizer shortage has added to growing concerns about the Ukraine war’s impact on the price and scarcity of certain basic foods. Combined, Russia and Belarus had provided about 40% of the world’s exports of potash, according to Morgan Stanley. Russia’s exports were hit by sanctions.
What is the demand for potash?
Potash demand rose by 6.2%, or 2.2 mmt, to 38.5 mmt in 2020-21. IFA forecast potash consumption to grow faster than the other nutrients during 2021-22. Demand is expected to be 39.1 mmt, up 1.5%. In addition, growth rates are also expected to be higher for K between 2020-21 and 2025-26.
Which country is the largest exporter of potash?
Canada
Canada is the world’s largest exporter of potash. In 2020, Canada exported 22 million tonnes of potash, accounting for 39% of the world’s total exports.
What is the current price of potash?
Potash had an average price of $875/ton, 10-34-0 $906/ton, anhydrous $1,534/ton (all-time high), UAN28 $630/ton (all-time high) and UAN32 $730/ton (all-time high).”
Why is potash in high demand?
In addition, the shrinking availability of arable land due to rising urbanization and industrialization has compelled farmers to increase the use of fertilizers to enhance the yield per hectare. Thus, with the rising consumption of fertilizers, the demand for potash is expected to increase over the forecast period.
Is potash in high demand?
Global potash demand has grown at a Compound Annual Growth Rate of 3.96% from 2012 to 2021. Current supply is tight due to recent mine closures, supply discipline from key producers, and a complex geopolitical environment.
Who buys the most potash?
Potash is extremely vital in China — the country is the largest consumer of potash fertilizer, accounting for approximately 20 percent of world potash consumption. China’s domestic demand for potash fertilizer is overtaking its homegrown potash supply, making the country reliant on potash imports, especially for MOP.
Who has the most potash in the world?
Top potash producing countries
| Country | 2018 Production (Tonnes) | % of world total |
|---|---|---|
| Russia | 7.3 million | 17.40% |
| Belarus | 7.1 million | 16.90% |
| China | 5.5 million | 13.10% |
| Germany | 2.9 million | 6.90% |
Why is potash so high?
Potassium fertilizers are created by mining potash from deep underground, similar to table salt. Chemical reactions convert it into a form usable by plants. US nitrogen fertilizer use increased by a factor of four from 1960–1980. This increase coincided with dramatic increases in crop yields.
Will fertilizer prices go down in 2022?
This page in: Fertilizer prices have risen nearly 30% since the start of 2022, following last year’s 80% surge. Soaring prices are driven by a confluence of factors, including surging input costs, supply disruptions caused by sanctions (Belarus and Russia), and export restrictions (China).
Which company produces the most potash?
Nutrien (NTR)
Nutrien (NTR) Nutrien is a global giant that makes over 27 million tonnes of potash, nitrogen and phosphate-based products for the agricultural industry each year. Over 20 million tonnes of production is potash, which makes Nutrien the largest producer in the world.
What is the global demand for potash fertilizers in 2024?
In 2024, the global demand for potash fertilizers is expected to reach some 44.2 million metric tons. Already a member? Add this content to your personal favorites.
Which country is the largest producer of potash?
Large potash deposits are found in Russia, which is the world’s largest producer of this nutrient. Owing to large salt deposits in Russia, Asia-Pacific accounts for the largest share of the potash fertilizer segment. China, Indonesia, Malaysia, and India are the largest potash exporters in the international market.
What’s driving potash prices higher in 2021?
Logistical woes and US sanctions against Belarus added major tailwinds to the potash market in 2021 as prices for the valuable fertilizer component soared to US$650 per tonne for the first time since 2008.
Why are Asian countries recoding growth in the potash fertilizer market?
The countries in Asia are recoding growth in the potash fertilizer segment, as they are witnessing increasing requirements for crops. In addition, these countries have historically been under-applied potash fertilizer, as compared to scientifically recommended levels of potash fertilizer application.
