Reading the Markets
Investors are constantly looking for new investment opportunities that offer significant payoffs with reduced risk. Market analysts
are constantly deciphering market data in the hopes of providing useful information on market trends and direction. Early identification of a bull market is imperative to maximizing investment returns and many investors look to diversify portfolios by investing in at least a few different markets.
Many market experts are advising that potash will continue to be one of the most secure investment markets. Potash offers a unique investment opportunity because it is directly tied to producing much of the world's food supply. Potash is one of the main ingredients in fertilizer.
The Demand for Fertilizer
Fertilizer has many known benefits and it is a key ingredient for producing strong crops globally. Studies have shown that fertilizer is proven to consistently provide the following benefits to crops:
increase water retention;
increase resistance to extreme weather, disease and insects; and
enhance the taste of fruits and vegetables.
The increased water retention is very important for areas that are prone to seasonal droughts. India is one of the largest global consumers of potash. This is partly due to the rate of population increase as well as the high probability of droughts. Potash is so significant in crops surviving drought conditions that potash sales typically spike substantially for most areas immediately following a drought. Unfavorable weather forecasts have also been known to increase potash sales significantly.
In high population areas such as India and China, underperforming crops can be devastating to local and global food supplies. Fertilizer is essential to ensuring the highest yield crops possible. Global populations continue to grow steadily and fertilizer will continue to play a key part in keeping food prices reasonable. This means that more people in the world will have access to healthier foods at reasonable prices.
Sustainable Potash Demand
Gold has received a lot of press over soaring prices, but potash figures are to be a competitive investment opportunity for many potential investors. The demand for potash is linked to the basic human need for food; while the demand may fluctuate subtly in the short-term, long-term demand will inevitably remain in a positive growth pattern. Investing in gold involves significant investment capital due to exorbitant gold prices and the market for gold can be susceptible to movements in the worldwide economies.
Investing in Potash
One of the most popular means for investing in potash is by purchasing stocks in specific potash mining companies. Western Canadian potash companies are traditionally consistent performers in the potash stock markets due to the strong investor backing and high yields from local mines.
Canadian potash mining companies are also leading the foreign investments flowing into new mining areas such as Africa. Africa is poised to become a large global producer of potash
due to the presence of abundant deposits that are among the shallowest in the world. Canadian potash companies that are expanding operations and developing mining projects in Africa
are becoming one of the best investment opportunities available to potential investors around the world. Potash investing is one of the best potential return on investment opportunities available today.