The Best Canadian Fertilizer Stocks to Buy in March 2025

ByDan Kent Published On:

Key takeaways

Canada is a global fertilizer powerhouse – With vast potash reserves and major producers like Nutrien, Canada plays a critical role in global food production and agricultural supply chains.

Innovation is shaping the future of fertilizer – Companies like Gensource and Western Resources are developing new, more sustainable mining methods, while Verde Agritech is introducing eco-friendly alternatives to traditional potash.

Fertilizer demand is tied to food security – As global populations grow and farmland productivity becomes more important, strong demand for fertilizers could drive long-term growth for these companies.

3 stocks I like better than the ones on this list.

It had been an exciting couple of years for fertilizer stocks here in Canada. However, we’re entering into some difficult times in 2025 and beyond as the price of potash collapses and many potash producers are struggling to keep the lights on.

In this article, I’m going to dig into what some of the top fertilizer stocks in Canada are, but I also want to go over what happened during the substantial runup in potash prices and why they’ve collapsed, so investors truly have an idea as to how volatile this sector is, and why there are very few stocks worthy of your attention.

What happened to potash and fertilizer stocks in 2021 and 2022?

The big event, of course, was Russia invading Ukraine. Russia is one of the world’s largest potash producers, a major fertilizer ingredient. As part of their support to the Ukrainians, nations lined up and vowed to stop doing business with all Russian companies, hoping these economic sanctions would influence Putin’s next step.

Russia’s invasion wasn’t the only thing causing potash prices to soar. COVID-19, while causing significant tailwinds in something like the funeral sector, hurt supply chains, causing everything from production delays to transportation snags.

Input costs were higher, especially natural gas. This impacted production in Europe, which depended on Russian natural gas.

One of Russia’s biggest allies was also hit with sanctions. The United States announced in April 2022 that it would no longer be doing business with Belarus, the world’s third-largest potash producer, penalizing it for many sins. This only added to the potash supply shortage. 

Add it all together, and potash had its best performance in decades in 2022. The commodity was approximately $400 per ton back at the beginning of 2021. A year later, prices were $800 per ton, hitting a high of almost $900 a few months later.

Naturally, high commodity prices are a boon to potash producers, who benefit from increasing revenue without substantially higher input costs.

Fast forward to 2025 and things have gotten ugly

The price of potash has collapsed from over $1200 a ton in 2022 to just $300 in 2025. As a result, potash companies have witnessed substantial drawdowns in price, with many smaller cap stocks being wiped off the map.

There are still some reasonable producers here in Canada, but they are few and far between. If you believe potash is going to rebound in price, you could certainly grab these stocks at some substantial discounts relative to their 2022 highs.

I’m going to go over one small-cap speculative play and one blue-chip Canadian stock. Keep in mind, both of these stocks require a significant tolerance for risk and volatility if you’re looking to invest. They will fluctuate wildly depending on the price of potash.

What are the best fertilizer stocks in Canada right now?

Sustainable potassium fertilizer producer

Verde Agritech (TSE:NPK)

Verde Agritech produces a unique potash-based fertilizer alternative called K Forte, which is free from chloride and helps improve soil health. The company operates in Brazil, one of the world’s largest agricultural markets, reducing reliance on imported fertilizers. Its natural potassium silicate product has gained traction due to environmental benefits and strong agronomic performance.

P/E: –

5 Yr Revenue Growth: -%

5 Yr Earnings Growth: -%

5 Yr Dividend Growth: -%

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  • Sustainable fertilizer solution – K Forte offers an alternative to conventional potash with soil health benefits.
  • Brazilian market exposure – One of the fastest-growing agricultural regions in the world.
  • Chloride-free advantage – Many crops benefit from reduced chloride content in fertilizers.
  • Local production benefits – Reduces Brazil’s reliance on imported fertilizers.
  • Scalability potential – Verde can expand production as demand increases.
  • Government support for domestic supply – Brazil wants to strengthen its domestic fertilizer industry.
  • Brazilian Agricultural Growth – More farmland could boost demand for Verde’s products.
  • Market Adoption of K Forte – Increased farmer adoption will drive revenue growth.
  • Environmental Regulations – Sustainable fertilizers are gaining favor worldwide.
  • Competition from Traditional Potash – How Verde competes with large potash firms.
  • Market Acceptance – Farmers need to see long-term benefits of K Forte.
  • Supply Chain Challenges – Expanding production requires logistical efficiency.
  • Competition from Imports – Traditional potash remains a dominant choice.
  • Commodity Price Sensitivity – Potash price swings can impact business.

The world’s largest potash producer

Nutrien (TSE:NTR)

Nutrien is the undisputed giant in the fertilizer industry, with operations spanning potash, nitrogen, and phosphate production. It is the world’s largest potash supplier and a major player in global agricultural solutions. The company also operates an extensive retail network, providing farmers with crop inputs and agronomic services.

P/E: 34.7

5 Yr Revenue Growth: 8.2%

5 Yr Earnings Growth: -15.1%

5 Yr Dividend Growth: 5.4%

Yield: 4.2%

  • Global potash leader – Nutrien dominates the potash supply chain.
  • Integrated business model – Owns both production and retail distribution.
  • Strong cash flow generation – A highly profitable and dividend-paying stock.
  • Exposure to rising food demand – Fertilizer demand grows alongside global food needs.
  • ESG-friendly initiatives – Focus on sustainable farming and emissions reduction.
  • Resilient against market swings – Diversified operations stabilize earnings.
  • Potash Market Conditions – Prices and supply-demand dynamics impact revenue.
  • Mergers & Acquisitions – Nutrien may pursue acquisitions to expand its footprint.
  • Agricultural Technology Growth – The company is investing in digital farming solutions.
  • Supply Chain Disruptions – Any global trade issues can affect fertilizer supply.
  • Commodity Price Fluctuations – Potash and nitrogen prices can be volatile.
  • Regulatory & ESG Pressures – Governments may introduce stricter environmental policies.
  • Geopolitical Risks – Trade restrictions and conflicts can impact fertilizer supply chains.
  • Farmer Demand Cycles – Agricultural downturns can reduce fertilizer spending.

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