US Mosaic to reduce phosphate output on high ammonia, sulphur prices

LONDON (ICIS)–Mosaic said it is curtailing phosphate production due to high sulphur and ammonia prices, leading to lower operating rates at the producer’s mines and concentrates plants although it will not result in employee cuts, the US major fertilizer said on Tuesday.

According to Mosaic CEO, Jim Prokopanko, the phosphate and potash producer will be margin-focused in the near term and will limit inventory build-up during the seasonally-slow part of the year.

The US producer also expects potash and phosphate sales volumes to be at or near the lower-end of the previously announced ranges in the third quarter of 2014, mainly due to weather-driven production outages in potash and in part due to the timing of shipments in phosphates.