The conflict between Russia and Ukraine has seriously impacted Brazil, which mainly depends on the import of chemical fertilizer from these two countries. The price of potash fertilizer in Brazil has soared from $300 per ton in February 2021 to an all-time high of $1100 per ton on the 23rd of this month.
Only 14 countries in the world produce potash fertilizer. Canada, Russia and Belarus together account for more than 66% of the total reserves of global potash resources, and the production capacity of the world's top seven overseas potash fertilizer production enterprises accounts for as much as 83%. Analysts pointed out that due to the sanctions imposed by the European Union and the United States, the circulation of potash fertilizer goods in Belarus was suspended; Russia announced the suspension of fertilizer export due to geographical conflict; The strike of workers of CP company in Canada may have a serious impact on the transportation of potash fertilizer, and there is a high degree of uncertainty in the supply of overseas potash fertilizer. At present, China's annual demand for potash fertilizer is 16-18 million tons, of which about 50% depends on imports. However, China's potash fertilizer resources are limited by reserves and grade, and it is difficult to continue to develop in large quantities. Therefore, it is urgent to find potash abroad.
According to the theme database of financial Associated Press, among the relevant listed companies:
Asia-Potash International Investment (Guangzhou) Co.Ltd(000893) the 1 million T / a potash fertilizer project approved by Dongtai mine in Laos has been put into operation and entered the production capacity climbing period.
Qingdao East Steel Tower Stock Co.Ltd(002545) Laos Kaiyuan, an overseas wholly-owned subsidiary, has a capacity of 500000 tons of potassium chloride per year. The first phase of the 1.5 million tons of potassium chloride expansion project (500000 tons) has been fully started on December 31, 2021.
