Kipp: Remind me again, which crops use the most potash versus nitrogen fertilizer. I added more MOS today, it has become a large position for me. Today it was buy the common, write Jan 2009 $175 calls. I am going to lose my Agrium shares soon (calls will be exercised, unless the stock tanks soon).
I'm taking this talk about $1,000 potash by the CEOs very seriously. I have to start figuring out how much MOS can make at those prices. I'd guess at least $20 a share annually. I'll let you know what I find.
Do you have any idea of how much fertilizer costs on a unit of production basis, like per bushel of corn, soybeans or wheat? I'm hoping the fertilizer costs are still a very small percentage of what the farmers can sell their final products for.
