U.S. Gulf: Potash barge prices remained at $317-$320/st FOB.
Eastern Cornbelt: Potash was quoted at $370/st FOB for red granular and $377/st FOB for white granular in the Eastern Cornbelt region.
Western Cornbelt: Although producer postings remained at $370-$377/st FOB in the region, most sources reported the potash market last week at $350/st FOB for red granular and $357/st FOB for white. The Tulsa potash market was also quoted in the $350-$355/st FOB range last week.
California: Potash pricing was pegged at $485-$494/st FOB or DEL in California.
The sulfate of potash (SOP) market remained at $660-$680/st FOB in California.
Crystalline potassium nitrate remained at $950/st FOB for bulk and $1,020/st FOB for bags.
Pacific Northwest: Sources quoted the potash market at $435-$445/st rail-DEL or FOB in the Pacific Northwest. Potash pricing FOB Utah mines was quoted at $400-$405/st for new orders.
The K-Mag market remained at $451-$471/st FOB in the Pacific Northwest.
Western Canada: Sources quoted the potash market at $379/mt FOB Saskatchewan mines to Canadian customers. Warehouse prices in the region remained at $400-$420/mt FOB, depending on location.
India: Reports that India will slash the subsidy for potash by 20 percent were met with a certain amount of skepticism from international traders.
One source noted that while the Indian government has been working hard to reduce subsidy payments for all fertilizers, a 20 percent cut in potash is unlikely. A trader said the most likely reason for the announcement was to put pressure on the potash suppliers.
Last year India imported 4 million mt of potash. Its major suppliers were PCS, Mosaic, Agrium, Uralkali, Arab Potash, and Israel Chemicals.
The sliding value of the rupee against the dollar has forced the Indian government into a number of actions that have not pleased farmers. Imports are being lowered, subsidies reduced, and prices raised.
Also complicating the issue is the announcement that national elections will start April 7. Political pressure to maintain the current level of subsidies could increase as voting day nears, said one source.
For now the subsidy issue on potash is being debated within government panels. A decision will have to be made by the end of the month. April 1 marks the beginning of the new fiscal year.