Mosaic Co. (MOS:US), North America’s second-largest fertilizer producer, cut its quarterly forecast for potash and phosphate sales and prices because crop-nutrient markets have “softened.”
Potash sales volumes in the third quarter will be 1.45 million to 1.65 million metric tons, down from a previous forecast on July 16 of 1.8 million to 2.1 million tons, Plymouth, Minnesota-based Mosaic said today in a statement. Prices will be in the range of $330 to $340 per ton, compared with the $330 to $360 a ton originally forecast, according to the statement.
Global fertilizer markets have softened, in part, because of fertilizer distributors’ cautiousness related to the break up of Belarusian Potash Co., Mosaic said in the statement.
“Dealers are cautious and are deferring purchases,” Jim Prokopanko, Mosaic’s chief executive officer, said in the statement.
In phosphates, Mosaic lowered its third-quarter sales forecast to 2.6 million to 2.8 million tons from 2.9 million to 3.3 million tons. The company also narrowed its phosphate price forecast to $430 to $440 per ton, from $430 to $465 in July.
On July 30, OAO Uralkali (URKA), the world’s largest potash producer, quit Belarusian Potash, the largest trader of the crop nutrient, because of a dispute with its partner Belaruskali.
To contact the reporter on this story: Christopher Donville in Vancouver at email@example.com
To contact the editor responsible for this story: Simon Casey at firstname.lastname@example.org