Nov 02/10 - Pt 2: Potash Politics

PART TWO

Potash Politics - Stephen Jarislowsky

We started this segment with a clip from Conservative House Leader John Baird speaking yesterday in the House of Commons. The Federal Government is expected to decide tomorrow whether it will approve a foreign take-over bid for the Potash Corporation of Saskatchewan. Investment Canada has recommended approval of the hostile takeover bid by the Australian company, BHP Billiton. And that has left Stephen Harper's Government in a delicate situation.

Rejecting the deal would undermine the government's argument that Canada is open for foreign investment. Accepting it would infuriate many across the country - especially in Saskatchewan where the Conservatives hold 13 of the province's 14 federal seats.

Potash - which is essential for making fertilizer - is worth Billions of dollars to Saskatchewan ... home to more than half of the world's supply. And the Potash Corporation of Saskatchewan -- once a Provincial Crown Corporation -- has been a very powerful player in that very important industry.

We heard from Steve Halabura with how he explains it. He's a geologist in Saskatoon and the Board Chair of Northern Rim Exploration.

Saskatchewan's Premier Brad Wall is not only campaigning the takeover bid, he is threatening to sue the federal government if it is approved. He says it would be crazy for the province to give up control of such a valuable resource. And Stephen Jarislowsky sides with the Premier. He is a Billionaire, and founder of Jarislowsky Fraser, an investment firm that manages more than 50 billion dollars worth of funds including significant investments in Potash. Stephen Jarislowsky was in Montreal.

Potash Politics - Michael McCullough

There are those who think the free market should prevail ... even if it means giving up control of an important resource. Michael McCullough is the Western editor of Canadian Business magazine. He was in Vancouver.

We requested an interview with Saskatchewan Premier Brad Wall. He wasn't available this morning.

Articles of Interest: Tony Clement looks to the undead as he weighs Potash takeover *** Harper signals Potash Corp. doesn't need takeover protection ***