Osceola County, Michigan is home to nearly 25,000 people. Located in the west-central part of the state's lower-peninsula, the county is home to many farms that raise different crops such as corn, soybeans, wheat and forages. The county is also sitting on a large underground supply of potassium and could someday be home to a potash mine that could produce thousands of tons of potash fertilizer. Michigan Potash & Salt Company is hoping to build such a facility near Evart and have it producing fertilizer by 2025.
Potassium is found naturally in the soil, according to The Fertilizer Institute (TFI). Nearly 98% of it is unavailable to plants in its existing form, thus making potash fertilizer essential for crop production. Potash (K) is essential for carbohydrate and starch synthesis in plants and also helps plants resist wilting. It is mined from the soil, and Canada is the world's largest producer and exporter, with 1.1 billion metric tons of potash reserves.
Global potash fertilizer production was estimated at 69.2 million metric tons (mmt) in 2020. Four countries (Canada, Russia, Belarus and China) make up 80% of global potash production.
World potash consumption in 2021 for fertilizers was estimated to have increased to 45 mmt from 44 mmt in 2020. Asia and South America are the leading potash-consuming regions of the world.
The majority of U.S. potash production is based in just two states. Two companies operate mines in New Mexico while two companies operate three facilities in Utah.
U.S. production in 2021 was estimated to be 480 metric tons (mt). Roughly 85% of U.S. potash sales is used for fertilizer, while the remainder is used for chemical and industrial applications.
The U.S. imports about 96% of potash necessary for fertilizer production. With unstable geopolitical issues unfolding in Ukraine, the Michigan Potash & Salt Company has unveiled its plans to build a potash mine in Michigan.
Aric Glasser, Chief Operating Officer for Michigan Potash & Salt Company, told DTN the company has spent 10 years planning the project, known as the U.S. Potash Project. The company has secured 25-year leases from landowners in Osceola County to build a mine.
“The mine will be built near Evart. The region is home to one of the highest-quality natural potash and salt deposits in the entire world,” Glasser said. "With fertilizer demand on the increase and food security important, we want to produce U.S. potash, which will put Michigan on the map and create a lot of jobs."
Editor’s Take:
The use of potash is critical to modern fertilizer practices. It is easy to see that three of the four major production areas are not friendly with the U.S. Thankfully Canada is close by and has been a major supplier for eons. The development of additional supplies of potash here in the U.S. will relieve a great deal of stress in domestic fertilizer markets going forward. It cannot happen soon enough! More domestic supply will reduce cost and keep more money in the pockets of the farmers/ranchers in your area.
