Falling oil prices will adjust potash fertilizers export plans in 2015
In 2015, the Belarusian Potash Company plans to export 9 million tonnes of potash, which is 5.3% less compared with 2014. The expected decrease in potash exports Q4 2015 is due to the fall in oil prices, which has led to the devaluation of national currencies in China, Brazil and India, main buyers of potash fertilizers. Belarus exports circa 90% of produced fertilizers, which means that production volume might decrease to levels of 2014; that chemical industry would no longer have a positive impact on the industrial production index; that Belaruskali would contain investment costs; and that foreign currency earnings would only slightly exceed the 2014 volumes (USD 2.7 billion) thanks to higher prices on potash fertilizers in H1 2015. The worsening outlook for potash fertilizers sales will curb influence on the pace the Nezhinski project is implemented (by Slavkaly) and on the development of the Petrikov deposit (by Belaruskali).
According to Belstat, in August 7,600 people were dismissed, including 4,800 civil servants. Dismissals of civil servants were due to the optimisation in the public administration by up to 30%. Some civil servants would retain their job however would lose the status of a civil servant. Vacancies on the labour market are likely to reduce in number, thanks to the optimisation, the state administration would increase wages for public servants. The payroll fund for retained employees is likely to increase and some former state employees are likely to get jobs in affiliated organizations. The optimisation of the state apparatus should complete by January 1st, 2018, and some former civil servants are likely to join the ranks of the unemployed.