China agrees to double what it pays for Canadian fertilizer

Saskatchewan potash producers more than double price of fertilizer exports to China

NEW YORK (AP) -- Saskatchewan potash producers have cut an export deal with China that calls for the price of fertilizer shipped during the rest of this year to more than double, one of the producers said Wednesday.

The contract between Canpotex Ltd., the export association of Saskatchewan potash producers, and China's Sinofert calls for shipment of 1 million metric tons of potash at $576 per metric ton -- a $400 per metric ton increase over the 2007 price, said Mosaic Co., a phosphate and potash fertilizer maker.

Besides Mosaic, Canpotex members include Agrium Inc. and Potash Corp. of Saskatchewan Inc. Potash owns a 20 percent stake in Sinofert

Shares of Canpotex members rose in premarket trading: Mosaic gained $3.40, or 2.7 percent, to $131, from their close Tuesday at $127.60; Agrium added $2.02, or 2.6 percent, to $80.98 from their Tuesday close at $78.96, and Potash rose $4.34, or 2.4 percent, to $188.75, from their close at $184.41.