OREANDA-NEWS. April 20, 2010. State association Belaruskali has sent a letter to the government with calculations justifying the necessity to abolish the export duty on potash fertilizers, a source in the administration of the country told.

“Belaruskali notes that the market has not recovered yet, and only a slight increase in prices has been registered, which is not reason enough to raise the duty or levy it at all, especially now that the government instructed the producer to meet the domestic requirement,” the source said.

In January-February, potash export prices were close to USD 300 per tonne.

Belaruskali, Belarusian Potash Company, Belneftekhim and the Economy Ministry call for abolishing the duties, whereas the Finance Ministry wants to leave the situation as it is.

In early 2010, the government considered doubling the export duty on potash fertilizers to 100 euros per tonne, citing a recovery of the potash market.

The export duty now stands at 50 euros per tonne.

Belaruskali’s potash exports fell to 2.948 million tonnes in 2009, down from 6.48 million tonnes in 2008.

Belaruskali is one of the largest potash makers in the world, employing about 20,000 personnel. The company plans to increase its output to 9.65 million tonnes annually by 2015. Belaruskali accounts for 15.3% of the world potash production.