Posted on 04/06/2022 5:17:34 AM PDT by blam
The EU is expected to deliver another shock to its agricultural sector by capping Russian imports of potash, a crucial ingredient for growing food, according to Bloomberg, citing a Dow Jones report.
The European Commission is expected to imminently unveil broad new sanctions on Russia. Much of the fertilizer is purchased from Belarus; the landlocked country in Eastern Europe could also be slapped with new sanctions for its involvement in Russia’s invasion of Ukraine.
Potash is a key ingredient for agricultural fertilizers. Europe produces only a negligible amount of the fertilizer, and to potentially cap imports from Russia and or Belarus (top producers) seems idiotic for Europe as the spring planting season is only beginning.
Even if Europe were to rework its supply chains to import potash elsewhere, only a few other countries would export it. The impact of capping imports will send prices even higher and create fertilizer shortages for crops. This can dramatically affect crop harvests at the end of the growing season.
A handful of North American fertilizer stocks jumped on the report, including CF Industries +3% and Intrepid Potash 2%.
About 90% of potash is used as fertilizer in Europe; the rest is used to produce table salt, help slow the aging of wine, preserve canned food, and give chocolate its aroma.
Global spot prices for potash show prices continue to accelerate to the upside. This may discourage farmers from purchasing or even spread less of it during the planting season.
Even before the invasion of Ukraine, all fertilizer production in the West was declining (read: here) due to high natural gas prices. The shortage of fertilizers, not just potash, but also nitrogen and phosphates, on global markets, is inevitable. What Europe is doing to potentially cap potash imports from Russia and Belarus is idiotic and can spark a food crisis.
European Union will place a cap on the import of potash.
Is Europe feeling ok? Does it really want a food crisis?
— zerohedge (@zerohedge) April 5, 2022
The ONLY conclusion that I can make from moves like this is that the Europeans are convinced that they can afford what they need from other sources - and stay fed.
The problem, though, for most of the world (other than the West and wealthy Asian countries) is that they CANNOT afford the prices that will soon be seen (or are already being seen), so we’re talking much less food production, and massive famine in the Third World.
But I guess that’s ok, for those supporting the Nazi-loving regime in Ukraine.
Yep, that one is a CLASSIC!
No Problemo
They/we can get their veggies at the supermarket.
I think I heard something to that effect from a congress critter.
But will those manure ponds be treated with respect now?
I doubt the mighty Z cheerleaders, have ever planted a single seed, let alone a crop of beans. When godfather Joe proclaimed ‘real’ food shortages, few people think that would affect US..
meh....mebbe certain elements seeking to manipulate the world by controlling food access have “pre-positioned” their “assets” to that end
“I doubt the mighty Z cheerleaders, have ever planted a single seed, let alone a crop of beans.”
But they did buy the Farm Aid CD.
They’re the ones at the very top. But even their wealthy countries will get through this. It’s the rest of the world that has to deal with no food.
>>The ONLY conclusion that I can make from moves like this is that the Europeans are convinced that they can afford what they need from other sources - and stay fed.
Have you considered that European politicians may want a self-imposed Holodomor to get rid of its excess population? A ‘Great Reset’ perhaps?
Perfect.
European socialism at its finest...are the people going to take this laying down?
Mom called this “cutting off your nose to spite your face”.
Have all the editors been shot? That sentence makes it sound like the EU is preventing Russia from importing potash. It should be "by capping imports of Russian potash".
Europe may be capping import of Russian potash to allow larger producing countries to buy it (Brazil, China, etc.) to feed Europe among others. Less wine but more food.
Nicely played.
Didn’t China just have a major crop failure?
China official says wheat crop may be ‘worst in history’ - World ...https://www.world-grain.com › articles › 16578-china-...
03.07.2022. By Arvin Donley. BEIJING, CHINA – A Chinese agricultural official said on March 5 that this year’s China winter wheat crop could be the “worst ...
As well as Brazil’s soy failure?
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