Investing in these two companies spreads risk but Reward is more advanced and has a clear domestic market. Also Potash only produced in 12 countries. This note taken from MAK site
Approximately 95% of current global consumption of potassium is used for fertilizers and potassium chloride or muriate of potash (MOP) is the most popular potassium fertilizer. There are no substitutes for potassium as an essential plant nutrient and an essential nutritional requirement for animals and humans.
Potash is produced in only 12 countries. Over 83% of the potash produced worldwide is imported by both producing and non-producing countries to meet their needs. Canada is the world?s largest producer and exporter of potash accounting for a third of total production and 40% of world trade.
The outlook for potash demand remains strong in importing countries such as the United States, China, Brazil and India. World population growth will require more food to be grown on less land. None of the important Asian rice growing countries have their own potash resources. As a consequence, half of the top ten importers of potash on the world market are from Asia.
RWD Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
