Belaruskali

Stock performance

History

Belaruskali grew out of the potash mines opened in the Soviet era around Soligorsk, in central Belarus, where the first mine began operating in the early 1960s on the rich Starobin deposit. It remained state-owned after independence and became one of Belarus's most important exporters, until it was targeted by US and EU sanctions in 2021 and 2022 following the disputed 2020 presidential election and Belarus's support for Russia's invasion of Ukraine.

Business model

Belaruskali mines and processes potash (potassium chloride), a key crop fertilizer, and sells it mainly to agricultural markets in Asia, Latin America, and elsewhere. After Lithuania halted its transit through the port of Klaipėda in 2022, exports were rerouted through Russian railways and ports, raising logistics costs.

Market position

Belaruskali is one of the world's largest potash producers, alongside Canada's Nutrien and Russia's Uralkali, together supplying a large share of global output.

Country impact

Potash is one of Belarus's largest sources of export revenue, so Belaruskali's earnings matter greatly for the state budget and the balance of payments. It is also a major employer in Soligorsk, where workers' strikes during the 2020 protests drew national attention.