Indian Potash to procure 1.35 mn tonnes of fertilisers from Russia's PhosAgro

Indian Potash Ltd (IPL) has signed a memorandum of understanding with Russia’s PhosAgro, one of the world’s leading vertically integrated phosphate-based fertiliser producers, to procure over 1.35 million tonnes of NPK, NPS and DAP (diammonium phosphate) fertilisers between 2015 and 2018. The memorandum was signed by the two companies at the International Fertilizer Industry Association conference in Istanbul. According to a PTI report, at present rates of phosphatic fertilisers the deal is estimated to be valued at Rs 2,700 crore.
 
Andrey Guryev, CEO, PhosAgro, said, “This year we have renewed sales to India after a nearly two-year absence due to significantly lower prices. We currently see sustained levels of demand for NPK/DAP fertilisers on the Indian market. We are pleased to continue our mutually beneficial cooperation with IPL, the largest importer of mineral fertilisers in India over the last 60 years, with over 10 million tonnes of annual fertiliser imports of different grades.”
 
India is the world's second-largest consumer of phosphate fertilisers with annual demand of about 80 lakh tonnes and the largest importer of diammonium phosphate (DAP).
 
PhosAgro’s core line of business is the production of phosphate-based fertilisers, high-grade phosphate rock (P2O5) and also feed phosphates, nitrogen fertilisers and ammonia. The company is Europe’s largest producer of phosphate-based fertilisers, the world’s largest producer of high-grade phosphate rock and the world’s second largest producer (excluding China) of MAP and DAP, according to Fertecon (a market research firm).