Mosaic and Agrium, the partners of PotashCorp in Canada’s fertiliser cartel, have launched a campaign defending the industry’s pricing and marketing arrangements in a move that could impede BHP Billiton’s $39bn takeover bid for PotashCorp.
BHP has signalled it plans to use infrastructure such as port and rail facilities that belong to Canpotex, the cartel that comprises PotashCorp, US-based Mosaic and Agrium of Canada.
But the Anglo-Australian company has insisted it plans to run PotashCorp’s mines at full capacity if its bid triumphs, a move that would torpedo the industry’s current arrangement of matching output with supply to maintain potash prices at high levels.
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