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Think we are paying too much......

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    Think we are paying too much......

    An interesting quote.....


    """""Mosaic has said previously that producing a tonne of potash at its Colonsay mine costs around US$100 compared to US$69 at its Esterhazy operation"""""""

    So to truck potash from mosaic to an input dealer there is 300 dollar per tonne markup within the borders of Saskatchewan. ? ?

    #2
    SK retail has to compete with what they are willing to pay across the border less freight to get it there.
    September CIMT report says $304 CAD/tonne for sales to US

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      #3
      Originally posted by farming101 View Post
      SK retail has to compete with what they are willing to pay across the border less freight to get it there.
      September CIMT report says $304 CAD/tonne for sales to US
      Potash is over 400cdn locally....

      Comment


        #4
        Originally posted by farming101 View Post
        SK retail has to compete with what they are willing to pay across the border less freight to get it there.
        September CIMT report says $304 CAD/tonne for sales to US
        But it's not like there isn't enough.

        Same can be said for nitrogen fertilizer, and a different thread states the Medicine Hat gas fields are being throttled back?

        There probably wouldn't have to be a single prill of N fert imported, but I actually don't know.

        But only farmers will try to be profitable below their cost of production or grow a crop "no matter what".

        Fertilizer is a commodity yet they have more control over it's pricing than we do over ours.

        I guess I do have options, don't grow certain crops....and if I do....sell it or keep it. The bills and mortgage can wait, can't they?

        Comment


          #5
          Originally posted by farming101 View Post
          SK retail has to compete with what they are willing to pay across the border less freight to get it there.
          September CIMT report says $304 CAD/tonne for sales to US
          Well ....maybe some are not willing to pay which is why they are doing temporary shutdowns....or closures and moving equipment????

          Comment


            #6
            Originally posted by bucket View Post
            An interesting quote.....


            """""Mosaic has said previously that producing a tonne of potash at its Colonsay mine costs around US$100 compared to US$69 at its Esterhazy operation"""""""

            So to truck potash from mosaic to an input dealer there is 300 dollar per tonne markup within the borders of Saskatchewan. ? ?
            Input pricing has nothing to do with cost of production. In a free and open market, pricing of any good is set by supply and demand. Businesses will extract the maximum price possible for any good and service; limited only by the willingness of the consumer to pay that high price and/or by lower competitor prices. So there is no reason (other than moral and ethical reasons which are not priorities for most business in price setting) for Mosiac to charge less for potash unless another competitor is willing to sell potash cheaper or farmer demand lessens, and even then Mosiac can reduce production thereby limiting supply to match demand at current price levels.

            Comment


              #7
              Originally posted by bucket View Post
              An interesting quote.....


              """""Mosaic has said previously that producing a tonne of potash at its Colonsay mine costs around US$100 compared to US$69 at its Esterhazy operation"""""""

              So to truck potash from mosaic to an input dealer there is 300 dollar per tonne markup within the borders of Saskatchewan. ? ?
              We heard that colonsay is union.
              Esterhazy is not.
              Shut down is to kick the union out.

              Comment


                #8
                Originally posted by Partners View Post
                We heard that colonsay is union.
                Esterhazy is not.
                Shut down is to kick the union out.
                Interesting...they did that with the beef slaughterhouse in Moose Jaw ...all it meant is Moose Jaw lost an industry for beef producers and the workers went to other industries.....it was a scam and short sighted to shut something down because of trying to rid the union....

                Now cattle producers have to pay an auction fee sell their cows to a slaughterhouse....instead of being paid for the cuts that are still good ..or just shoot them...

                very short sighted for the cattle industry....especially with recent articles saying older cows can provide good cuts.....so in reality its a lost opportunity....
                Last edited by bucket; Nov 6, 2019, 08:59.

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