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Why Citigroup Is Bullish on Fertilizers

The Potash market (as distinct from the nitrogen and phosphate market) is dominated by a relatively few players and especially POT. In their conference calls, POT has been saying time and again that they have seen the ups and downs before and they know what they are doing and they will not allow the potash market to collapse. So far it is holding, but of course the big question is the Chinese contract. But since they have held out so far, it is not likely that POT will cave in over that.

The factors cited by Mr Juvekar apply to all three major fertilizer components, and if they hold, will contribute to better pricing all across the board and not just in Potash.