03 February 2012 13:40 [Source: ICIS news]
HOUSTON (ICIS)--Mosaic will reduce its planned potash production by up to 20% from February to May 2012 because of low near-term demand, the US-based fertilizer firm said on Friday.
Mosaic said the curtailment would result in lower operating rates at its mines, but the company does not expect “any employee layoffs or material mine shutdowns.”
"Cautious dealer sentiment continues to delay purchases and lower near-term demand for potash," said company CEO Jim Prokopanko.
However, Prokopanko said that "farmer economics" remain strong, and Mosaic continues to expect an above average application season in ?xml:namespace>
“While we are confident fundamentals will ultimately prevail, we've taken steps that reflect the near-term supply and demand balance for potash," he said.
Additional reporting by Deepika Thapliyal in London
For more on potash visit ICIS pricing fertilizers
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