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                                 Exhibit 10(m)


                    POTASH CORPORATION OF SASKATCHEWAN INC.

                           SHORT TERM INCENTIVE PLAN

        This Short-Term Incentive Plan (the "Plan") is intended to aid in
maintaining and developing strong management in the Potash Corporation of
Saskatchewan Inc. and its direct and indirect subsidiaries (the "Corporation")
by providing financial incentives to key employees, in addition to their basic
salaries, in recognition of their achievement of objectives which contribute
materially to the success of the Corporation's business interests.

1.      DEFINITIONS

        In this Plan, except where the context otherwise indicates, the
        following definitions apply:

        (a)     "Award Percentage" means a percentage based on the table
                contained in Schedule I and calculated in accordance with the
                formulae contained in Schedule I;

        (b)     "Board" means Board of Directors of Potash Corporation of
                Saskatchewan Inc.;

        (c)     "CEO" means the Chief Executive Officer, from time to time, of
                Potash Corporation of Saskatchewan Inc.;

        (d)     "Committee" means the Compensation Committee of the Board;

        (e)     "Entitled Employee" means a key employee of the Corporation who
                is among the managerial, professional, technical or
                administrative employees of the Corporation and is designated by
                the Committee as eligible to receive an Incentive Award under
                this Plan and which employee is in the employ of the Corporation
                as of the end of the year for which awards are to be granted;

        (f)     "Entitled Mine Employee" means an Entitled Employee who is
                attached to one of the potash or phosphate mining divisions of
                the Corporation;

        (g)     "Equity" for any year means the average of the opening and
                closing balances (after adding to the closing balance any amount
                accrued in such year in respect of Incentive Awards) for the
                fiscal year as reported in the audited financial statements of
                the Corporation for such year;

        (h)     "Incentive Awards" means financial incentives awarded to
                Entitled Employees pursuant to the Plan;

        (i)     "Net Income" for any year means the amount reported as net
                income in the audited financial statement of the Corporation
                plus research and development

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             expenditures, tax expenditures, plus any amount accrued in such
             year in respect of Incentive Awards, as adjusted by the Committee
             at its discretion to account for the effect of any extraordinary
             nonrecurring charges or credits;

        (j)  "Return on Equity" or "ROE" means the product obtained by first
             dividing Net Income in any year by Equity and multiplying the
             resulting quotient by 100;

        (k)  "Target ROE" means the Return on Equity projected in the approved
             budget;

        (l)  "Target Percentage" means the Award percentage at Target ROE as
             shown in the table contained in Schedule I.

        (m)  "Termination of Employment" means the cessation of employment with
             the Corporation;

        (n)  "Year" means any given fiscal year of the Corporation;

2.      LIMITATION OF AWARD OF INCENTIVES

        Generally, no Incentive Award shall be granted under this Plan with
        respect to any year in which the Return on Equity is less than 50% of
        the Target ROE; provided, however, that the Committee may elect, in its
        discretion, to make Incentive Awards in any year in which circumstances
        have prevented the Corporation from achieving 50% of the Target ROE.

3.      AWARDS GRANTABLE

        An Incentive Award is grantable with respect to any Year to any Entitled
        Employee who has not less than three months' employment with the
        Corporation during such Year.  Entitled Employees who have been employed
        by the Corporation for less than one year shall have their Incentive
        Awards prorated in accordance with their period of employment.

4.      METHOD OF DETERMINING INCENTIVE AWARDS

        (a)  Entitled Employees shall be divided into five groups as follows:

             Senior Executive Group - Senior Vice Presidents and above
             Executive Group - Vice Presidents
             Senior Management Group - Salary grade 1,200 to 1,499 (Hay Points)
             Middle Management Group - Salary grade 900 to 1,199 (Hay Points)
             Junior Management Group - Salary grade 775 to 899 (Hay Points)


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                Provided that the CEO may, from time to time, designate an
                employee for inclusion in one of the above-mentioned groups
                when, but for such designation, the employee would otherwise not
                be included in such group.

        (b)     Entitled Employees (except Entitled Mine Employees)

                The Incentive Award for each Entitled Employee who is not an
                Entitled Mine Employee will be the Award Percentage of the
                annual salary of such employee, with a deviation of plus or
                minus 10% of the award so determined, which deviation will be
                dependent upon the Entitled Employee's performance as determined
                by his or her supervisor and approved in accordance with the
                provisions of this Plan.

        (c)     Entitled Mine Employees

                Incentive Awards for each Entitled Mine Employee shall be the
                sum of (i) and (ii) below which amounts shall be arrived at by
                calculating:

                (i)     The award payable if calculated in accordance with the
                        provisions of paragraph 4(b), and thereafter dividing
                        the award so calculated by 2.

                (ii)    An award arrived at by calculating the Target Percentage
                        of the annual salary of such employee and adjusting that
                        award by applying a formula to be developed from time to
                        time by the CEO in consultation with the Senior Vice
                        President, Administration and the appropriate senior
                        group executive, which formula shall reasonably reflect
                        the actual results of the mining division to which the
                        employee is attached as compared to the approved budget
                        for that division, and thereafter dividing the adjusted
                        award by 2.

        (d)     General

                The Incentive Award for any Entitled Employee may exceed or be
                below the amount calculated in accordance with the foregoing
                formulae at the discretion of the CEO. Incentive Awards falling
                outside the established range shall be recommended by the CEO
                and shall be approved by the Committee in the normal course of
                administering the Incentive Compensation Plan.

5.      GRANTING AUTHORITY AND ADMINISTRATION

        The Committee shall, on the recommendation of the CEO, approve the
        number and amount of Incentive Awards for any given year within the
        three months after the end of such year. The Committee shall
        conclusively interpret the provisions of this Plan and


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        decide all questions of fact arising in the application. Determinations
        and interpretations in individual cases may be made by the CEO with due
        regard to consistency with any prior action by the Committee and such
        determination shall be binding and conclusive upon the individual
        employees concerned and persons claiming under them.

6.      NON-ASSIGNMENT

        Rights and Incentive Awards granted under this Plan are not assignable,
        except that in the case of the death of an Entitled Employee any
        Incentive Award which would otherwise be paid to such employee shall be
        paid to his or her estate.  Incentive Awards are not subject, in whole
        or in part, to attachment, execution or levy of any kind.

7.      AMENDMENTS

        The Board may from time to time amend this Plan, or any provision
        thereof, except that the terms and conditions of Incentive Awards which
        have been granted cannot be amended so as to adversely affect the rights
        of the grantee without his or her consent.

8.      TERM

        This Plan shall be effective on and from January 1, 1995, shall apply to
        Incentive Awards for fiscal year 1995 and thereafter, and shall
        terminate only by appropriate action of the Board.
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                                   SCHEDULE I
<TABLE>
<CAPTION>
                        AWARD PERCENTAGE AT       AWARD         AWARD PERCENTAGE AT
                           THRESHOLD ROE      PERCENTAGE AT          MAXIMUM
GROUP                   (50% OF TARGET ROE)    TARGET ROE      (150% OF TARGET ROE)
<S>                             <C>               <C>                 <C>
Senior Executive                20%               40%                 80%
Executive                       15%               30%                 60%
Senior Management               15%               20%                 40%
Middle Management               10%               15%                 30%
Junior Management                5%               10%                 20%
                                ---               ---                 ---
</TABLE>

FORMULA

        The Award Percentage shall be calculated in accordance with the
following formulae:

        (i)     Where the ROE is less than the Target ROE:

<TABLE>
                <S>                             <C>
                Senior Executive                (40%)(AROE)
                Executive                       (30%)(AROE)
                Senior Management               (10%)(AROE) +10%
                Management                      (10%)(AROE) + 5%
                Junior Management               (10%)(AROE)
</TABLE>

        (ii)    Where the ROE is equal to or greater than the Target ROE:

<TABLE>
                <S>                             <C>
                Senior Executive                (80%)(AROE) -40%
                Executive                       (60%)(AROE) -30%
                Senior Management               (40%)(AROE) -20%
                Management                      (30%)(AROE) -15%
                Junior Management               (20%)(AROE) -10%
</TABLE>

NOTES

        (i)     Adjusted ROE (AROE) =    ROE    x  100
                                      ----------
                                      Target ROE

        (ii)    Where AROE is greater than 150 (i.e. the maximum return on
                equity) the AROE is deemed to be 150.