Farmers Forum staff
SASKATOON — The largest fertilizer company in the world posted record earnings in 2022, despite the Russian invasion of Ukraine and the Canadian government war on farm fertilizer.
Nutrien Ltd., of Saskatoon, reported net earnings of $7.7 billion, despite lower 4th quarter sales as the price of potash increased.
Nevertheless, Nutrien plans to increase potash production from 12.5 million tonnes in 2022 to as much as 14.6 tonnes in 2023, to offset the decline in production in war-ravaged East-Europe.
The Russian invasion of Ukraine is a constant worry and neighbouring Belarus and Russia account for 40 per cent of global potash production. But Russian potash production is expected to decline 15 to 30 per cent this year, Nutrien chief executive Ken Seitz said in a call with market analysts. He added that production in Belarus would decline 40 to 60 per cent this year on top of a 50 per cent decline in production already experienced in recent months. While both countries can produce potash to meet demand, they can’t get it out of their countries as Ukraine shipping ports are bottlenecked.
Seitz also said that rising crop prices would offset the rise in potash prices.
Nutrien forecast that it will produce 18 million tonnes annually by 2026, explaining that it would help food insecurity challenges. But it’s also up against a global powerhouse.
The largest mining company in the world, BHP Group, of Australia is building the largest potash mine in the world, in Nutrien’s backyard, just east of Saskatoon.
Investing giant BlackRock is the largest shareholder of BHP with 7 per cent of shares. BlackRock has been heavily criticized for pushing families out of the housing market by buying up entire neighbourhoods and turning them into rentals, while also investing heavily in Chinese companies, including companies blacklisted by the U.S. Commerce department over human rights concerns.
Making matters worse, BlackRock CEO Larry Fink is a World Economic Forum enthusiast and for the second-straight year, BlackRock was listed on the top 10 list of the wokest companies and organizations in America. The “Worst of the Woke” list is produced by the new Tolerance Campaign.