Some economists are forecasting a hit to the Saskatchewan economy due to falling prices for potash, a leading provincial export.
The fears mounted last month as Russian potash giant Uralkali said that it would break from a cartel that had kept world prices artificially high.
The breakup of the cartel was taken as a sign that Uralkali will be able to drive down the price of potash by as much as 25 per cent, affecting other rival producers in Canada and the U.S. It's a possibility that led to large drops in the stock price of PotashCorp, Mosaic and Agrium, all of which have major potash operations in Saskatchewan.
Analysts say potash prices could fall from the current level of US$400 a tonne to US$300 a tonne.
from Western Investor September 2013
