Potash shares take nosedive

Shares of North American fertilizer companies that produce potash took a nosedive following news that a large Russian potash producer is ramping up production and cutting prices .

Fertilizer companies say the Russian action could lower potash prices by as much as 25%. Shares of Canada’s largest producer, Saskatoon-based Potash Corporation plunged by about 16%.

The three largest North American producers of the crop fertilizer, Potash Corporation, Mosaic, and Agrium, lost a combined total yesterday of nearly $9 billion in the value of their shares.