Last week was broadly flat for potash prices in the three locations discussed below. Among the three major fertilizers, potash fertilizer was the strongest performer for potash segments of companies (MOO) such as PotashCorp (POT) and Mosaic (MOS). We’ll look for similar cues in earnings releases from Agrium (AGU) and Israel Chemicals (ICL) in the upcoming weeks.
Last week, potash prices in the Cornbelt region of the US remained unchanged at $231 per metric ton from a week ago, making it the fourth consecutive week that prices moved sideways. Year-over-year, potash prices at this location were up just 3% compared to levels observed in the corresponding week in 2016.
Similar to the Cornbelt region, potash prices in the Southeast Asia region also moved sideways to $255 per metric ton from a week ago. Year-over-year, potash prices were just about 5% higher from the corresponding week in 2016.
In Brazil, the potash prices were unchanged last week at $276 per metric ton week-over-week. Last week was also the fourth consecutive week that prices at this location moved sideways. However, unlike the Cornbelt and the Southeast Asia location, potash prices at this location were up 17% from the corresponding week in 2016.
Next, we’ll discuss fertilizer affordability.