The world leader in fertilizers Nutrien plans to expand in Brazil, as the weakening of the global agricultural economy presents acquisition opportunities for the world’s largest supplier of crop nutrients.
The Saskatoon-based Saskatoon, Saskatchewan, will invest between $200 million and $300 million annually in the Latin American nation over the next five years, its top executive, Chuck Magro, on Tuesday in a phone interview. That will include acquisitions and expanding its current retail business in the country that leads the global exports of soybeans, sugar and coffee.
«We see a lot of opportunities in the Brazilian agricultural market,» Magro said.
Nutrien’s plan will increase competition for US fertilizer producer Mosaic and Norway’s Yara International, two companies that INTL FCStone estimates account for 46% of total sales in the Brazilian market.
The Canadian supplier strengthened its presence in the Latin American country last year with the acquisition of local producer Agrichem. It also holds a 9.5% stake in Heringer Fertilizers.
In 2018, Nutrien ended its partnership with Julio Ponce at SQM, after selling its share-a-party package in the company (32%) Tianqi China.