PotashCorp has an unmatched position in potash, with 75 percent of world excess capacity in 2005. In 2006, sales slowed during extended price negotiations with China and India and competitors curtailed production, whic h meant PotashCorp’s share of excess capacity fell to 55 percent. However, when the China and India contracts were signed in July and August, respectively, competitors returned to near-full operating rates and PotashCorp again has 75 percent of world excess capacity. It is also uniquely positioned to meet rising global demand for potash by bringing on additional production in a timely and cost-effective manner. Its large, low-cost Canadian facilities are complemented by strategic investments in Jordan, Israel, Chile and China.

The company also has strengths in nitrogen and phosphate. Long-term, lower-cost natural gas contracts in Trinidad provide a competitive advantage in serving the US nitrogen market. In phosphate, superior-quality rock gives PotashCorp greater ability to produce higher-margin industrial products, particularly purified phosphoric acid.