As reported by Reuters, China’s SDIC announced on Monday that it will buy Canadian fertilizer supplier Nutrien’s 28% stake in Arab Potash Co. for US$502 million.
SDIC Mining Investment Co., a subsidiary of China’s State Development and Investment Corp. (SDIC), will become the majority shareholder in Arab Potash after the transaction, SDIC said in its statement.
China is the biggest consumer of potash and also Arab Potash’s primary market.
The agreement between SDIC and Nutrien will further reduce China’s reliance on potash imports and guarantee its food security, the statement added.