By Rod Nickel
Oct 7 U.S. fertilizer company Mosaic Co
on Monday lowered its outlook for 2013 global potash shipments,
citing weaker demand in India and a delay in settling a
second-half contract between its export agency Canpotex Ltd and
China's Sinofert Holdings Ltd.
Mosaic Chief Financial Officer Larry Stranghoener, one of
several executives speaking to analysts in New York, said the
company sees global potash shipments of 54 million to 55 million
tonnes, down from its previous estimate of 55 million to 57
million tonnes but higher than 2012's 51 million.
Potash prices have slipped since mid-summer when Russian
producer Uralkali OAO quit its export partnership with
Belarus and said it would seek to maximize sales volumes.
"I think one year from now, we are going to see the issues
that came up in eastern Europe, that's going to be ancient
history, life's going to go on," said Chief Executive Officer
"I think we'll see a recovery."
For 2014, Mosaic, the second largest North American potash
producer after Potash Corp of Saskatchewan, sees global
potash shipments rebounding to 57 million-59 million tonnes.
Potash Corp, Mosaic and Agrium Inc sell potash to
offshore markets through the export consortium Canpotex.
Mosaic shares fell 1 percent in New York to $45.64.
Mosaic also lowered its 2013 outlook for global phosphate
shipments by about 2 million tonnes to 63 million-64 million
tonnes, versus 63 million tonnes in 2012, mainly due to a
decline in shipments to India. For 2014, Mosaic, the world's
largest producer of finished phosphate products, expects global
shipments to rise to 64 million-66 million tonnes.
Shipments of crop nutrients to India have taken a hit
because of the decline of the rupee, which has made imported
products more expensive there.
Mosaic and Potash Corp disbanded their joint exporter of
North American phosphate, PhosChem, last week.
Rick McLellan, Mosaic's senior vice president,
commercial, said the decision was made because Mosaic was now
providing more than 90 percent of the association's volume.
Last month, Mosaic cut its third-quarter sales and price
outlooks for potash and phosphate, citing the effects of the BPC