The average weekly price of MOP (muriate of potash) in Vancouver remained unchanged for the week ended May 27, 2016. The prices continue to fall below the 15-year average price of $290 per metric ton. Companies that produce MOP like PotashCorp (POT), Intrepid Potash (IPI), and Mosaic (MOS) have been impacted by this price drop.
For the week ended May 27, 2016, MOP prices stood at $269 per metric ton, unchanged from the previous week. However, the price of standard MOP in Southeast Asia inched down to $248 per metric ton from $249 per metric ton.
MOP prices in the Corn Belt also fell slightly to $213 per metric ton compared with the previous week’s $214 per metric ton. On the other hand, the price of granular MOP in Brazil remained unchanged at $226 per metric ton for the week ended May 27, compared to a week earlier.
Prices continue to slide
MOP prices in Vancouver fell by 12% in the week ended May 27 from $307 per metric ton in the previous year. MOP in Brazil fell by 32% YoY (year-over-year) from $334 per metric ton. In Southeast Asia, standard MOP prices fell by 25% from $333 per metric ton YoY. In the Corn Belt, MOP prices sank by 37% from $337 per metric ton.
The downward price movements mentioned above show that the market for potash producers such as PotashCorp (POT), Mosaic (MOS), Intrepid Potash (IPI), and Agrium (AGU) remains challenging. You can gain exposure to these companies through the SPDR S&P North American Natural Resources ETF (NANR). To learn more about agricultural fertilizer companies, visit our Agricultural Fertilizers page.