Mosaic to cut back potash production

The Mosaic Company announced a reduction of up to 20 percent in planned potash production from February through May 2012. This curtailment will result in lower operating rates at Mosaic’s mines, but is not currently expected to result in any employee layoffs or material mine shutdowns.

“Cautious dealer sentiment continues to delay purchases and lower near-term demand for potash,” said Jim Prokopanko, President and Chief Executive Officer. “Farmer economics remain strong, and we continue to expect an above average application season inNorth America and record-setting global potash shipments in 2012. While we are confident fundamentals will ultimately prevail, we’ve taken steps that reflect the near-term supply and demand balance for potash.”

Comments (5) Leave a comment 

just another way to control prices and keep them over inflated. We need to do away with monopolies and get more producers in the market place.

This is just a plan to shorten supply and raise potash pricing, just another show of greed to remove income from the farm. Everyone from seed and chemical companies, landlords and equipment manufacturers are raising prices to get their share of the "pie", and lessen usable farm income. This will prevent farmers from spending as much on potash, and not build field levels up from the deficient levels that we have in our area. We do need more players in the fertilizer market, but unfortunately, there is very little competition left on the producer level.

I agree, lack of competition and greed drive so much of our big business philosophy. . We nee to break up the near monopolies that now control the fertilizer production in the US

In the past 8 years the cost of production has not gone up 80% .
Yet the cost the farmers pay is that much more.