Andrew Robinson, general manager of P.E.I. Agromart in Travellers Rest, said his company purchases several thousand tonnes of potash from Potash Corp every year, and until now, it had come from the Sussex mine.
“I’ve been in the business since 1999 and the vast majority of our potash came from Potash Corp in Sussex,” said Robinson.
“(The closure) really did come as a surprise. Potash Corp had made some really significant investments in that mining operation over the last number of years … so yeah, it’s not something that I’d say anyone in agriculture in the Maritimes was preparing for. Now we’ve got to figure out how to manage it going forward.”
P.E.I. Agromart is one of a handful of companies on the Island that import various materials and combine them into specific fertilizer mixtures, which are sold to farmers to help crops grow. Potash is an essential ingredient in that mixture, along with nitrogen and phosphate.
Potash Corporation of Saskatchewan announced in January that it will be suspending operation at its Sussex mine, taking about 420 jobs out of the community.
Robinson said he’s been informed by the company that the decommissioned mine will continue to be used as a distribution centre for potash that will be railed in from western Canada. So for at least 2016, he foresees little changing in his operation. Beyond next year though they may have to re-evaluate where they source their material.
Potash is sold as a global commodity, so its price doesn’t change much whether it’s mined in Sussex or somewhere on the other side of the planet. The trick for Robinson and other local buyers will be to weigh the cost of transporting the mineral to their plants here in P.E.I.
“Longer-term it’s more of a concern in terms of certainty of supply and costs in terms of bringing potash in by rail from western Canada.
“What it means is that the fertilizer blending companies like ourselves will be looking at all options, basically all around the world for potash. Whether it’s vessel-landed into the Maritimes or railed from western Canada we'll have to explore every option that's out there,” he said.
Andrew Robinson, general manager of P.E.I. Agromart in Travellers Rest, said his company purchases several thousand tonnes of potash from Potash Corp every year, and until now, it had come from the Sussex mine.
“I’ve been in the business since 1999 and the vast majority of our potash came from Potash Corp in Sussex,” said Robinson.
“(The closure) really did come as a surprise. Potash Corp had made some really significant investments in that mining operation over the last number of years … so yeah, it’s not something that I’d say anyone in agriculture in the Maritimes was preparing for. Now we’ve got to figure out how to manage it going forward.”
P.E.I. Agromart is one of a handful of companies on the Island that import various materials and combine them into specific fertilizer mixtures, which are sold to farmers to help crops grow. Potash is an essential ingredient in that mixture, along with nitrogen and phosphate.
Potash Corporation of Saskatchewan announced in January that it will be suspending operation at its Sussex mine, taking about 420 jobs out of the community.
Robinson said he’s been informed by the company that the decommissioned mine will continue to be used as a distribution centre for potash that will be railed in from western Canada. So for at least 2016, he foresees little changing in his operation. Beyond next year though they may have to re-evaluate where they source their material.
Potash is sold as a global commodity, so its price doesn’t change much whether it’s mined in Sussex or somewhere on the other side of the planet. The trick for Robinson and other local buyers will be to weigh the cost of transporting the mineral to their plants here in P.E.I.
“Longer-term it’s more of a concern in terms of certainty of supply and costs in terms of bringing potash in by rail from western Canada.
“What it means is that the fertilizer blending companies like ourselves will be looking at all options, basically all around the world for potash. Whether it’s vessel-landed into the Maritimes or railed from western Canada we'll have to explore every option that's out there,” he said.
