Politics of fertilizer

[bucket]

Does anyone think it odd that the province of saskatchewan and the federal government potected Potash corp from being taken over?


And now allows them to gouge the shit out of domestic farmers?

The cost of potash from saskatchewan dropped into india is 427 per tonne and we pay over 500 at the source?

The three just settled collusion charges for 100 million and yet no one thinks to bring this in front of the canadian competetion bureau?

And its the same for nitrogen. The cost of production in russia is 350 per tonne - should be roughly the same in western canada. We pay the Russian price plus the freight to get it here and belle plaine exports nitrogen daily?

Weber you got any comments? You follow this pretty close.

[LWeber]

From Fertilizer Buddy - Feb. 13:

Quote:

Find the missing $125.00/MT: Last week Canpotex sold potash to India at $427.00 FOB India. Backed off to a point in Saskatchewan that would be about $55.00/MT less for freight and loading charges or for arguments sake, the same cost to get it to Kansas. Why when farmers have hard numbers in front of them, do they not scream and shout at the pricing anomalies that are occurring on this side of the border? This is a country where gas companies raises/lowers their fuel prices at almost the exact same instance and they cannot find collusion. Go figure. What politician has the spheres to tackle this?

End quote

[bucket]

Thanks, Mr. Weber.

I thought your comment would be appropriate.

[Hopperbin]

Well I hope you give at least one thousand to the FNA deal or shut the F up lol.

[Hopperbin]

SASKATOON – Farmers of North America Inc. (“FNA”) announced the successful conclusion of the Series I Seed Capital offering for ProjectN, the project to build a new fertilizer plant begun by FNA Fertilizer Limited Partnership (“FNA FLP”).

Stantec, a global leader in engineering, environmental and process engineering, has been engaged by FNA FLP to lead the Bankable Feasibility Study (“BFS”) for the proposed nitrogen fertilizer production facility.

ProjectN spokesperson Bob Friesen said that the prospects for farmers to have a controlling interest in the final plant are better than ever.

“The response of FNA members has been beyond expectations, which has allowed us to hire one of the most sophisticated and experienced firms to take the lead on this critical milestone. Now we encourage all farmers to join ProjectN to drive up the number of acres covered and increase the potential capacity of the plant that is taken up by farmers.”

The BFS will provide current and prospective project partners and investors with a detailed, third party study on project scope, engineering, capital costs, market structure and pricing, and indicative project returns. The BFS is also a key requirement for securing debt financing for the project.

While the first series of the seed capital offering was targeted at existing FNA members, Series II will be more broadly targeted to farmers who are not FNA members, to bring them into the FNA organization and provide them the opportunity to participate in FNA FLP.

FNA FLP previously announced BMO Capital Markets as its financial advisor on ProjectN.

“With Stantec & BMO Capital Markets we have two of the world’s best in their respective fields,” Friesen said, adding “A great deal of work has already been done, and the foundation has been laid so that ProjectN is one of the most advanced of the fertilizer plant proposals being put forward by new entrants to the North American fertilizer production market.”

“What is absolutely critical is getting as many farmers as possible so we can control a major portion of the production of the new facility.”

[LWeber]

All aboard Hopper...

The glyphos gravy train is over - NEXT...


http://www.canlii.org/en/sk/skqb/doc/2009/2009skqb362/2009skqb362.html

Happy reading….

[TOM4CWB]

Have a great evening everyone!

You only live once... so eat drink and be merry... for
you never know what tomorrow will bring!

If you are smart enough to be with the love of your
youth... make sure you treat that person like you are in
the middle of courtship... what good is life without
care, hope, and happiness.

Cheers!

[bucket]

Hopper

If I buy fertilizer from them does that count as supporting them?

I understand what you are saying, but if FNA was serious about bringing down the cost of fertilizer, they could have taken the seed money and bought fertilizer from russia on a long term contract, much the same as Canpotex does with the chinese and indians.

Instead they think they will build a factory with farmers money, and they will probably charge the local market rate. Just like buying from the other guys like cps, viterra etc.

Did FNA promise to sell at cost or are they sending back a rebate?

[nibs1]

http://www2.canada.com/story.html?id=6920751 Here is another saga with fna connections?

[Burbert]

Maid in Comedia pricing, what a novel
idea, Comedian framers are stupid, they
are hooked on the product, gotta have
it, gotta have it. Being marketeers,
they appreciate, clutching, gouging,
grabbing and screwing, hence higher
price fer Comedian fertilizer! Charge
what the market will bear, supply and
demand rule, in the fee open market
place. Competition bureau to the
rescue, yeah right, they don't know
their a holes from a hole in the ground.
Hence high fertilizer prices across the
bored, eh.......

[ColevilleH2S]

My significant other just treated me to
a five course feast with wines to match
each plate. I didn't think life life got
this good.

Love to you all today, even Burbs;-)

[bucket]

My prediction.

The FNA plant never gets built.

[greybeard]

There used to be some kind of anti dumping
problems that came up when product showed up
in foreign markets for less than it was being sold
at in the producing country.
Maybe your retailer is enjoying bull margins.
Up to you to do something about that. Reward the
business to the lowest price and don't just whine
at the guy you always buy from like sf3.

[Hopperbin]

Bucket I think the idea goes like this, invest in the fertilizer plant and make 30 percent profit for a few years. Buy from it what ever you like. It will be the investors that make the money. The idea is to have enough farmer investors to supply themselves. They do not need or want to compete or drive the price down as that will reduce the profit. we are captive in North America. So if you do not own it, may as well complain some more cause that is where you will be.

[Hopperbin]

Bucket this deal is for farmer investors. Not a deal to bring the price down for everyone. From what I gather. I would love to see this work cause it can be expanded to other things.