U.S. Gulf: Potash barges remained flat and were called $490-$495/st FOB.
Eastern Cornbelt: The potash market remained in the $530-$540/st range FOB most warehouses in the Eastern Cornbelt region, although there were reports from some Illinois sources of warehouse tons as low as $520-$525/st FOB on a spot basis. One Illinois source quoted rail-delivered red granular potash at the $532/st level to his location at midweek.
Western Cornbelt: Potash was pegged at $525-$545/st FOB regional warehouses, depending on grade and location. Most of the spot quotes for red granular potash fell in the $530-$540/st FOB range in Iowa and Missouri.
Northern Plains: Potash pricing in the Northern Plains was down from last report. North Dakota sources quoted delivered tons in the $530-$540/st range, while pricing out of Minnesota warehouses was reportedly as low as $515-$525/st FOB
Potash pricing FOB Saskatchewan mines for U.S. customers remained at $530-$540/st FOB, depending on grade and supplier.
Great Lakes: Potash pricing was down from last report in the Great Lakes region. Michigan sources quoted red granular potash at $535-$540/st FOB, with white granular in the $542-$547/st FOB range out of warehouses in the state. The low end of the potash range was quoted at the $530/st FOB mark in Wisconsin.
Northeast: Potash pricing continued to slip in the Northeast. Sources quoted granular potash at $540-$550/st FOB and $565/st rail-DEL in the region.
China: Israel Chemicals Ltd. (ICL) has signed contracts to supply Chinese companies with some 550,000 mt of potash during the second quarter of 2012. There is also an option to supply an additional 120,000 mt. The pricing is unchanged from the previous contracts to China at $470/mt CFR.
The 550,000 mt represents an increase over the 500,000 mt achieved in the year-ago period. “The new agreements underscore our strategic decision back in 2010 to increase the number of customers in China and to sell directly to fertilizer producers and distributors,” said Danny Chen, ICL Fertilizers CEO.