Potash Corp. Rivals Seen Following With Cuts
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Potash Corp. of Saskatchewan Inc.’s decision to cut 18 percent of its workforce and reduce capacity probably foreshadows similar actions by North American rivals amid a price war in the $20 billion global potash market.
Potash Corp., the world’s largest fertilizer company by market value, said yesterday it will close a Canadian potash mine, lower output at another and halt a processing mill. Calgary-based Agrium Inc. and Mosaic Co. of Plymouth, Minnesota, are likely to follow with job and capacity cuts, said Peter Prattas, an analyst at Cantor Fitzgerald LP, and Mark Gulley, an analyst at BGC Partners LP.