Potassium Chloride (KCl)

Potassium Chloride (KCl) Production Process

• Potassium chloride is produced through a simple evaporation process of saturated brine, obtained from potash deposits. Currently, potassium chloride is produced in five types–Granular, Coarse, Standard, Fine and Soluble. The coarse, granular, standard and fine forms are mainly used in fertilizers while the soluble form is used in industrial applications.

Potassium Chloride Industry Drivers and Constraints

Drivers

Downstream Demand

• The potassium chloride market is heavily reliant on the demand from the agriculture industry, as it is used in the production of fertilizers

• Being a vital requirement in the human body, pharmaceutical grade potassium chloride is administered orally to treat low blood potassium levels, creating a stable demand form the pharmaceutical sector

• Rising use of potassium chloride as an alternative for sodium chloride (common salt) was observed in 2019 due to the added health benefits

• Rising demand for potassium chloride as an alternative to sodium chloride in water softening solutions

• Increasing demand for potassium chloride in development of metallurgy solutions and oil field chemicals

Constraints

Chlorine Content

• Use of potassium sulphate as an alternative to potassium chloride is on the rise due to the high chlorine content of the latter

Potassium Chloride Global Imports

• The US was the largest importer of potassium chloride in 2020, sourcing from countries – Canada, Russia, and Belarus. The presence of a vast salt deposits in Saskatchewan, Canada, has made it an ideal location for the sourcing of potassium chloride.

Potassium Chloride Global Exports

• Canada and Russia remained the largest exporters of potassium chloride in 2020, on the account of the presence of salt lakes and potash mines respectively. A high population growth in China and India has resulted in a high demand for potassium chloride as a fertilizer in agriculture.