Potash price update
For the week ending September 9, 2016, the average potash price movement was mixed in the four locations discussed below. MOP (muriate of potash) is the key potash fertilizer (MOO) used globally. Let’s look at the price levels in the four locations listed below.
Average weekly potash prices in Vancouver fell 2% to $220 per metric ton during the week ending September 9—compared to the previous week.
Potash prices have been battered over the past year. In contrast to Vancouver, potash prices in the US Corn Belt rose 2.9% to $215 per metric ton week-over-week. This is highly favorable for potash companies such as PotashCorp (POT), Mosaic Company (MOS), Agrium (AGU), and Intrepid Potash (IPI). So far, they have all been impacted negatively by falling potash prices in 2016.
Potash prices in Southeast Asia also rose by 41 basis points to $242 per metric ton during the week. In Brazil, prices inched up by 43 basis points to $233 per metric ton.
Average potash prices at the above four locations fell by as much as ~24% year-over-year. Some of the above-mentioned companies have seen a 40% fall in their realized prices in 2Q16. To learn more, read Comparing 8 Fertilizer Companies’ Performances in 2Q16.
To learn more about agricultural fertilizer companies, visit Market Realist’s Agricultural Fertilizers page.