The plant increases blending capacity and expands Mosaic's presence in the fast-growing northern region of Brazil. With a capacity to process 1 million tpy of fertilizer, and approximately 500 000 t in 2025, the Palmeirante facility will be a key contributor to Mosaic's ambitious growth plans in Brazil. Distribution sales are expected to grow from less than 8 million t in 2024 to 13 - 14 million t by the end of the decade.
The US$84 million investment in the Palmeirante facility has been completed on time and within budget. The facility is expected to earn a margin of US$30 - US$40 per tonne-generating an anticipated internal rate of return in excess of 20% and demonstrating the company's commitment to capital allocation execution and reallocation in pursuit of strong shareholder returns.
"The inauguration of our new plant in Palmeirante represents meaningful progress for Mosaic," said Executive Vice President, Commercial Jenny Wang. "Brazil is an agricultural powerhouse, and Mosaic has been a leader in the market for many years. We are providing farmers in the MATOPIBA region with more efficient access to the fertilizers they need and expanding Mosaic's presence in a key growing region."
The facility includes significant warehouse capacity, automated blending and bagging systems, and a direct rail connection to the port of Itaqui-reducing logistics costs and providing state-of-the-art quality control technology.
