Devils Lake, ND | KelB - 9/21/2008 23:50
One fertilizer company rep was overheard saying that they do not work out how much the fertilizer cost to buy and ship it; they work out how much the farmers are prepared to pay. So what I think they have done is worked out the farmers input cost versus the returns and price their fertilizer to that. What your thoughts on this ?
Are new cars, cereal at the grocery store, or wheat in your bin any different? Charging what the market will bear is as old as capitalism itself. As long as there isn't collusion between the companies, I'm not sure what can be done. And regarding the Canadian potash situation; there's no question they price-fix. The Canadian potash producers make OPEC look like a bunch of amateurs. |
Fertilizer prices around the world
