Potash prices, similar to nitrogen and phosphates, continued to show strength last week as well. Prices at three of the four locations discussed below experienced a week-over-week increase.
Granular potash prices in Brazil saw a steep weekly gain of 2.6% week-over-week to $313 per metric ton from $305 per metric ton a week ago. Similarly, granular potash prices in the NOLA (New Orleans) region of the US also rose by 83 basis points to $220 per metric ton from $218 per metric ton, while granular potash prices in the Cornbelt region of the US remained flat at $244 per metric ton week-over-week.
Looking at the standard grade of potash, we see a similar trend in the South East Asia location with a 72-basis-point increase to $281 per metric ton from $279 per metric ton. Compared to the same week a year ago, last week’s potash prices were also higher by double digits in each of the locations except the Cornbelt region where potash prices rose 6% year-over-year.
In Brazil, potash prices rose 19% year-over-year, while NOLA and South East Asia both saw a 13% year-over-year gain in prices last week. Potash producers (XLB) such as Nutrien (NTR), Israel Chemicals (ICL), and Mosaic (MOS) could benefit from this upward-trending commodity cycle.
Next, we’ll discuss fertilizer affordability.