• 1
  • 2
  • 3

Global phosphate market Commentary

Global phosphate market Commentary

Abstract: The short-term funding problems and the uncertainty surrounding the outlook that buyers were stopped phosphate (phosphate) of the purchase. After production and prices, all providers are currently only taking mineral fertilizers waiting game strategy.

Over the past two years, become potassium phosphate (potash) unfortunate “relative.” Some of the world’s largest mining companies and investment banks over the years focused on the basic raw material from the phosphate fertilizer potash steering.

This situation is not to say there is no future phosphate industry, just shows how much the situation of the two minerals are different.

Phosphate is a basic mineral fertilizers. It phosphoric acid form or as a direct additive in the form of particles much better than all, the most widely in many downstream fertilizer consumption.

Relevant figures can illustrate this point: There are 174.4 million tons of global production; comparison to 61.2 million tons potash, however, compared with the potash industry, both expansion initiative is the same.

However, for the purposes of phosphate, generally considered relatively unattractive one of the reasons is the price instability, which in 2009 became prominent after the sharp decline in demand up. Meanwhile, potash prices plunged withstood the trend, it rests in the equivalent of two thirds of the 2008 level (800 U.S. dollars / ton to 450-600 U.S. dollars / ton), phosphate prices fall further .

Currently the price of phosphate around $ 90 / ton, while the previous year’s trading at 350-400 U.S. dollars / ton.

Cause this price instability is due to the large number of apatite mining, making it needs almost no time period is difficult to maintain high prices.