Canada is set to increase its potash exports to Bangladesh this year – aiming to strengthen food production and security in Bangladesh and support the country’s agricultural sector.

The agreement to increase the supply of potash was signed between the Canadian Commercial Corporation, Saskatchewan-based Canpotex (one of the world’s largest suppliers), and the government of Bangladesh, the Canadian Trade Ministry said in a statement released on March 17.

“The sale of Canadian potash to Bangladesh, made possible through the hard work of the Canadian Commercial Corporation, shows our commitment to being a reliable partner and quality supplier of agricultural products in the Indo-Pacific region. Canada is a global leader in helping to address challenges in global supply chains, all while promoting Canadian values and protecting good, middle-class Canadian jobs,” Mary Ng, Canadian Minister of International Trade, Export Promotion, Small Business and Economic Development, said while announcing the agreement.

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The agreement – under the country’s new Indo-Pacific strategy – will help Bangladesh address the increased food insecurity caused by the Russia-Ukraine war, according to the Canadian trade ministry statement.

The Canadian Commercial Corporation has been supplying potash to Bangladesh since 2014. In 2022, Canada exported more than $500 million worth of potash to Bangladesh.

According to Bangladesh Fertilizer Association (BFA), Bangladesh imported 80% of its potash requirements from Russia and Belarus and about 20% from Canada in recent years. However, due to sanctions and payment-related complications since the Russia-Ukraine war broke out, Bangladesh is not able to import potash from Russia and Belarus.

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