Reports surfaced in a local Brazilian newspaper that Vale; one of the country’s biggest mining firms is keen on raising its presence in the fertilizer sector with additional acquisitions. The move comes as a continued push by Vale for a foothold in the Fertilizer industry over the recent months.

The newspaper reports indicated that Vale might be mulling the potential acquisition of a number of additional fertilizer assets in Brazil. The report, carried by the O Estado de S. Paulo newspaper, further indicated that Vale had planned bolstering its budget to be in a position to seek further acquisitions in the sector.

Mario Barbosa, Vale’s executive director for fertilizers, reiterated that, due to the fact that most start ups or existing firms risk getting smaller if they don’t join others following a streak of consolidations in the country, Vale is on the lookout for such opportunities if viable, reported the newspaper.

The said comments from the Vale executive come in the wake of denials over Vale’s involvement in the Potash Corp bid. There had been ripe speculation last week that Vale was mulling an offer for Canada’s Potash Corp, as the Canadian firm seeks to prevent a $39 billion takeover offer from Australia’s BHP Billiton.

The speculation stemmed from the fact that the Canadian firm, Potash, is the biggest global supplier of fertilizer and Vale is currently considered one of the two global firms big enough to consider a potential takeover of that amount.

However, Vale has categorically denied the speculations, with analysts reiterating that there is doubt as to whether Vale might be keen on such a move for Potash. According to analysts, there is a lot of political pressure on Vale to undertake its investments in Brazil, given its estimated $10 billion fertilizer investment war chest.

Thus, Barbosa, Vale executive officer reiterated that whereas Vale would love to make considerable foreign investments, the fact on the ground is that pressure is mounting for the firm to undertake Brazilian investments.

As a result, Vale is keen to seek growth in Brazil via partnership with other fertilizer makers, added the report. Vale is the biggest producer of iron ore globally and has in recent months been on the acquisition trail to expand its fertilizer business in the country. Vale acquired Brazilian fertilizer assets of US firm, Bunge Ltd for an estimated $3.8 billion.