Can anyone explain the dichotomy of what is preached on this board with alarming regularity, and the hard cold facts that are found in the real world?
Where will the Indian government get the Billions to give Wpx?
India announced today that they were cutting back on the subsidies for the potash farmers buy.
They are doing this to rein in their fiscal deficit that is spiralling out of control.
They recently sold some of their shares in RCF to raise $54 million to help pay down their deficit.
Does this sound like a government that has several Billions of dollars floating around waiting to risk it on some unfunded junior potash company that is run by a management team that has no potash mining, or potash mine building experience?
Their deficit is $93 Billion which is huge for India.
When some people say/imply " don't worry, India will ride in on a white horse and give us a gift of a couple of Billion dollars", does that sound like something that we can prove by examining the facts found in the real world?
When we read articles talking about The Indian government selling shares in fertilizer companies and cutting subsidies for farmers, does that really leave us with the impression that they have Billions of spare dollars to invest in Canada?
Everybody knows that they need to secure their food supply and it is a serious issue that they will face in the future, but are their actions right now showing that they are prioritizing the future or the present needs of their governments, politicians and people?
Does it not appear a little like "let's deal with today's problems today, and let another government or politician sort out tomorrow's problems in the future"?
Just my honest opinion.
(Reuters) - India on Wednesday decided to cut the subsidies on phosphate and potash-based fertilisers in the fiscal year that began in April in an effort to rein in its fiscal deficit.
The cut for the second year in a row will limit Indian fertiliser companies' ability to pass on falls in global fertiliser prices to local farmers and thereby stem any rebound in consumption of potash and phosphate based fertilisers which fell by nearly 30 percent last year.
It will also limit India's imports of potash and phosphate. India imports all its potash and also buys about 90 percent of its phosphate from abroad.
REUTERS - The government raised $56.84 million by selling some of its shares in state-run Rashtriya Chemicals and Fertilizers Ltd (RCF)(RSTC.NS) on Friday, as part of a divestment drive to help rein in the budget deficit.