Uralkali said it was pulling out after reaching deadlock over sales and would export all potash via its Swiss-based Uralkali Trading. It may lead to a fall in the global potash price to below $300 per tonne in the second half of 2013, from the current $400 per tonne, it said. Lower fertiliser prices could result in rising demand from price-sensitive farmers in Asia.
Uralkali plunged 15%. Rival fertiliser firms also fell, with Germanys K+S down nearly 16%.
Uralkali CEO Vladislav Baumgertner said the partners had reached an unfortunate deadlock.