Potash prices have been steadily rising for nearly two decades. Rising demand in recent years, combined with limited global supplies and mine depletion, has led to significant price growth. This situation is expected to become more pronounced for the foreseeable future. After years of relative stability, potash prices have more than doubled since 2004. More recently, there have been dramatic price spikes recently (2006) such as 23% in China, 50% in Malaysia and 55% in Brazil – three of the world’s dominant potash consumers. In April 2008 China's Sinofert Holdings Ltd. reached an agreement to pay $400.00 USMT higher than in 2007. This has raised the pice to $576.00 MT for fertilizer delivered to Vancouver BC. As farmers become biofuel miners and the intense pressure on global food production increases, the demand for potash-based fertilizer is expected to continue.
