Fertilizer demand rises due to higher crop prices and weather

The improving crop prices in North America and the changeable weather are encouraging growers to spend money on fertilizers to secure yields. At least, that's the opinion of the Canadian fertilizer manufacturer PotashCorp.

They base this on the market figures for July that apply there. Crop prices rose after yield forecasts were revised downwards in many areas due to weather conditions. This resulted in increasing presales. “Current fertilizer and crop price levels make the purchase of nutrients needed to increase yields affordable,” said PotatshCorp. Later that month, crop prices fell again.

Demand for potash and phosphate is growing
The price of potassium has continued to improve in most global markets since early 2017. This is caused by rising demand and lower inventory levels.

The demand for phosphate also grew in the first two quarters of this year. It looks like this trend in Latin America and Asia will continue into the third quarter.

New capacity in Morocco and Saudi Arabia is able to meet this need. The fertilizer manufacturer expects the expansion of 2.2 million tons of phosphate to be achieved this year.

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