Potash producers could wring more out of farmers as global food prices soar
Bloomberg reports prices in the $150 billion fertilizer market are lagging behind gains in food costs, providing farmers another incentive to boost production and leaving a gap for potash producers to further increase prices which have already surged 29% this year.
Potash is 36% cheaper than in June 2008 when corn rose to a record, according to data from ICIS, a commodity-pricing company. In contrast food prices gained 4.3% over the same period, an index of the United Nations shows.