The meeting summed up the results of BPC’s work, with its strategy of further development outlined. The Belarusian Potash Company, set up in 2005 on a parity basis (50 percent of shares belong to Russian Uralkali and 50 percent to Belarusian enterprises), has been demonstrating evident success over the six years of its existence. In 2004, on the eve of its foundation, revenue from selling potash fertilisers by Belaruskali totalled $761m; by 2008, this had reached $3.4bn.
Shareholders are satisfied with these results, noting that, in the first three months of 2011, prices for potash fertilisers rose. Meanwhile, the company is constantly mastering new sales markets.
At the same time, the partners believe that their joint business could be further developed, with the range extended. In particular, logistics could be improved, since such a large company should possess its own railway transport, alongside port terminals for shipment and in countries of destination.
The meeting also tackled new schemes of work and discussed project financing. The President has requested detailed calculations and studies for interstate approval, with proposals submitted on how to improve the company’s work.
At present, BPC is a key company worldwide for its sales volumes of potash fertilisers, accounting for around 34 percent of the world market. As soon as Russian Silvinit merges with Uralkali, the Belarusian Potash Company may account for up to 45 percent of the world market: three powerful enterprises will merge — Belaruskali, Uralkali and Silvinit.
Belaruskali plans to expand extraction volumes of potash fertilisers, with work at Krasnoslobodsky pit, launched in May 2009, extended to capacity, and two more pits being constructed, with another planned. A programme of Belaruskali’s promising development has been elaborated until 2020. It is expected that, in 2015, Belarus will annually extract 11m tonnes of raw potash fertilisers (against today’s 9m tonnes), leading to considerable export expansion. Moreover, the construction of a chemical factory is planned, alongside facilities to manufacture compound fertilisers in Soligorsk, taking into account the world trend for rising NPK consumption.