By Mrinalika Roy

Aug 20 (Reuters) - Fertilizer Canada warned on Tuesday

disruptions impacting all rail services across the country will

cost the fertilizer industry an estimated $55 million to $63

million per day in lost sales revenue, not including logistical

and operational costs.

Canada is the largest producer and exporter of potash - the

key ingredient in fertilizers - and 75% of all the fertilizer

produced and used in the country is moved via the railways.

The railways move an average of 69,000 metric tons of

fertilizer product per day, equivalent to four to five trains,

according to Fertilizer Canada.

"Our industry continues to be very concerned by the

potential of a dual rail disruption and the cascading impacts on

Canada's economy and global food security," the organization

said in an emailed statement.

The fertilizer industry contributed about $12 billion to

Canada's gross domestic product last year.

The organization, which represents producers like Nutrien ( NTR )

and CF Industries ( CF ), said last week the industry

had already begun to feel the effects of the labour disruption,

as the railways issued embargoes that impacted some ammonia

fertilizer products and halted their movement.

Since 2018, seven supply chain labour disruptions have cost

the fertilizer industry an estimated $976 million in lost sales

revenue.

(Reporting by Mrinalika Roy in Bengaluru; Editing by Devika

Syamnath)