Potash Corp. of Saskatchewan, Agrium Inc. and Mosaic Co. Back In US Court Over Charges Of Price Fixing ....
Postash companies with strong Saskatchewan connection are back in a US court:
"Potash buyers sued in 2008, claiming violations of the U.S. Foreign Trade Antitrust Improvements Act, which can extend the reach of American antitrust law to foreign anticompetitive conduct that affects U.S. imports.
“Markets are increasingly global, and today’s decision helps ensure that U.S. antitrust law and U.S. courts will protect U.S. purchasers who are targeted and injured by global cartels,” W. Joseph Bruckner, a Minneapolis-based attorney for the plaintiffs, said in a statement."
Bloomberg.com
"Potash buyers sued in 2008, claiming violations of the U.S. Foreign Trade Antitrust Improvements Act, which can extend the reach of American antitrust law to foreign anticompetitive conduct that affects U.S. imports.
“Markets are increasingly global, and today’s decision helps ensure that U.S. antitrust law and U.S. courts will protect U.S. purchasers who are targeted and injured by global cartels,” W. Joseph Bruckner, a Minneapolis-based attorney for the plaintiffs, said in a statement."
Bloomberg.com
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and take action.
Posted by
SGdca |
6:21 pm, June 28, 2012
Two posters (one of them was Mr. John Murney) tried to make a comment to this post. When I tried to publish them ... THEY DISAPPEARED! What the heck???!!
John ... if you read this ...you had a GREAT point .. would you please post it again ... ? and forgive E-Blogger for their shoddy app.
Sorry John ...
Posted by
leftdog |
6:34 pm, June 30, 2012
Hi there - no problem, Leftdog. Yes, basically I think there was a situation about 45 years ago where Saskatchewan and New Mexico were accused of price fixing. After 10 years the SCOC ruled it unconstitutional, and that is what lead to the nationalization of the potash industry in Saskatchewan. Thus Potashcorp being involved in this latest case is somewhat ironic.
Posted by
John Murney |
9:45 pm, June 30, 2012
Thanks John. I now recall that event with the price fixing! I am going to do a bit more research on that historical aspect. Seems funny that we see a repeated attempt at cornering the market and controlling the price.
I couldn't find any Sask or Alta MSM coverage of this weeks proceedings .. did you?
Very nice to to read your comment. Trust and hope you are well.
Posted by
leftdog |
11:37 pm, June 30, 2012
Hi there - I am doing all right these days.
I have found no media coverage of this story. What was interesting about the 1960s price fixing was that it was done by the Sask and New Mexico Gov'ts at a time when the Potash companies had overproduced, and the falling price of Potash was going to lead to the implosion of the industry. This time, the price fixing is happening at a time when the price of Potash is very high, and the returns on potash exports are huge. Thus it doesn't seem to matter whether the potash industry is growing or contracting, but price fixing always seems the preferred solution...
In Economics, we call the Potash industry an Oligopoly; there are a few major players and they have market power. Thus their tendency is to collude or undercut each other. I'll be curious to see how this turns out.
Posted by
John Murney |
11:46 pm, June 30, 2012
" ... but price fixing always seems the preferred solution..." - I think that both history and current proceedings verify your comment. Excellent observation.
On the matter of no MSM coverage, I wonder why that is? Surely Saskatchewan's MSM should consider this newsworthy?
Posted by
leftdog |
7:51 pm, July 01, 2012