ABSTRACT

This chapter analyzes the phosphate rock industry both in the United States and worldwide, its relationship to the Canadian fertilizer industry, and implications for US-Canadian bilateral relations. It is concerned with the use of phosphate rock in the fertilizer sector. Phosphate rock is the primary raw material of the phosphorus and phosphorus derivatives industry. Phosphate rock is converted into a number of intermediate products, including ammonium phosphates, phosphoric acid, and triple superphosphate. The international price of phosphate rock prior to the 1970s was apparently determined by US producers. Phosphate rock producers in other developing countries of North Africa, West Africa, and the Near East quickly instituted price rises similar to those of Morocco. The possibility of future price initiatives and the implications for US-Canadian bilateral relations are examined. Market forces and commercial ties have been quite successful in minimizing the bilateral impact of fluctuations and temporary imbalances in the phosphate rock sector.