Business news

In the past Belarusian Potash Company used to sell three types of potassium chloride to China. In 2014 the company sold seven types of merchandise to China or virtually the entire lineup of fertilizers made by Belaruskali. By doing so, the company opened additional market niches and put pressure on competitors, said the source. The work will continue in 2015. “Some headway has also been secured with regard to other new kinds of products that consumers may be interested in,” specified the press service.

At present Belarusian Potash Company’s operation in China is focused on diversifying the client base and on establishing direct relations with manufacturers of compound fertilizers. Close attention is also paid to optimizing the logistics of deliveries and expanding the choice of merchandise.

In 2015 Belarusian Potash Company intends to ship over 1.7 million tonnes of potassium chloride to China. The main partners on the Chinese markets are three state-run corporations, which are licensed for importing fertilizers to China. Those are CNAMPGC, Sinochem, and CNOOC. The three companies account for most of the potash fertilizers imported to China by sea.

In 2015 Belarusian Potash Company will supply potassium chloride to China at $315 per tonne, $10 up from the previous price. The relevant agreement was secured after lengthy negotiations taking into account all the main factors that determine the state of the Chinese economy and the global market on the whole, namely falling oil prices, slower growth rate of the Chinese economy, and deflationary processes in the world.

The Belarusian Potash Company press service underlined that the previous increase in prices for potassium chloride on the Chinese market was witnessed in 2011. Only in 2015 Belarusian Potash Company managed to overcome this negative trend and secure an increase in prices despite the fact that the Chinese side had been insisting on at least keeping the price of the previous year, stated the source.

Representatives of Belarusian Potash Company described terms of the agreement with Chinese partners as matching the competitive market situation, mutually profitable and acceptable for both sides. The press service noted that the establishment of the Chinese price gave a positive impulse to the market, invigorating the market, and stimulating an increase in prices in other regions, in particular, in Southeast Asia and Brazil.

The public joint-stock company Belarusian Potash Company was founded in September 2013. The company is meant to independently promote Belarusian potash fertilizers onto foreign markets. The merchandise is exported to India, China, European countries, countries of Central and South Americas, the Asian-Pacific Region, Africa, and the Middle East.