In a First on CNBC interview, Mosaic CEO James Prokopanko on Wednesday said his fertilizer company has a strong outlook for 2011.
"World supply is growing about inline with world demand. We have not seen any phosphate production facilities come online in the past couple years, other than some facilities in China.
"Beyond that, we haven't seen any expansions and it's not sure when these new facilities are going to come online," said Prokopanko. "World demand is growing at 2.5 [percent] a year. That's a 1.5 tons a year and new production is going to be challenged to keep up with that growing demand."
Prokopanko acknowledged that his Plymouth, Minn.-based company is often mentioned as a possible takeover target. He said the increased mergers and acquisitions activity is reflective of how attractive the agricultural chemicals space is right now.
Patty Edwards, chief investment officer at Trutina Financial, agreed. She feared she was a little late to the trade, but recently bought shares of Potash anyway because of growing demand for food production.