In this article, we are going to discuss 5 largest potash producing countries in the world. If you want to check out our detailed analysis of key market players, global price trends, the effects of the Russia-Ukraine war on the global potash supply chain and the environmental impacts of potash mining, head to 15 Largest Potash Producing Countries in the World.
5. Germany
Production of Potash in 2022: 2,800,000 metric tons
Germany is the largest producer of potash in the European Union and was also the only producer of the compound in the world until the beginning of the 20th century. The world’s first deposits of potash were discovered in Staßfurt in 1856 and production began 5 years later. A key player in the market is K+S Aktiengesellschaft, with a market cap of $3.4 billion. The company is Europe’s largest producer of potash for use in fertilizer.
4. Belarus
Production of Potash in 2022: 3,000,000 metric tons
Being one of the largest producers of potash in the world, Belarus accounted for around 17.6% of total global supply back in 2020. The total potash production in 2021 was around 7.6 million tons, revealing a YoY decrease of over 60%. This decline comes as a consequence of the Russia-Ukraine war and the related sanctions by the EU and the US. One of the key players in the market is the state-owned company Belaruskali.
3. Russia
Production of Potash in 2022: 5,000,000 metric tons
The potash industry in Russia also suffered massively from the ongoing sanctions, with a 45% decrease in production, from 9.1 million tons in 2021. The country has also witnessed a 30% decline in potash exports since 2021, with a 77% decrease in exports to the EU and a 13.7% decrease in exports to Brazil. Some of the key players in the market are the Acron Group and Uralkali.
2. China
Production of Potash in 2022: 6,000,000 metric tons
China is the largest consumer of potash in the world, with a consumption of over 10 million metric tons in 2020 and agriculture takes up 95% of this consumption. However, according to a report, the potash reserves in China only take up 2% of the global proven reserves. Most of these reserves are located in the Northwest Plateau region, causing difficulties in mining and transportation. Hence, despite being the second largest producer of potash in the world, China is heavily dependent on imports to satisfy its fertilizer needs. A key player in the Chinese potash industry is the Qinghai Salt Lake Industry Co,. Ltd.
1. Canada
Production of Potash in 2022: 16,000,000 metric tons
Canada is the country that profited the most from the sanctions placed on Russia and Belarus, filling the supply vacuum, and increasing its production by 12.6%, from 14.6 million metric tons in 2021. The country, with its massive reserves in Saskatchewan, is also the largest exporter of potash globally, with a 38% share in the global potash exports. Saskatoon-based company, Nutrien Ltd. (NYSE:NTR), with its six mining reserves in Saskatchewan, is the largest producer of potash in the world. The reserves of Saskatchewan are the result of evaporation of an ancient inland ocean and are the largest reserves of potash globally, with 1.1 billion tons of potash.
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