MOSCOW, April 1 (RIA Novosti) - Russia's Uralkali, the world's largest potash producer, has signed a contract with India's biggest fertilizer importer IPL for the supply of 800,000 tons of potash at price of $375 a ton, the Indian company said Tuesday.
"The agreement reached today is mutually beneficial. India is a strategic market for Uralkali, and Indian Potash Limited is our long-term partner. We hope the implementation of the contract will encourage potash consumption in India which will help to satisfy the rising demand for food," said Oleg Petrov, Uralkali's Director of Sales and Marketing.
"We also hope that landing this contract will boost growth in the global potash market," Petrov added.
The contract, signed on cost and freight terms, is valid for one year.
Uralkali formerly supplied potash to India through a joint trader, the Belarusian Potash Company, but last summer the Russian potash giant changed its market policy, breaking away from its Belarusian partner. For the fiscal year ending March 31, India purchased potash from Uralkali at $427 per ton.
India is one of Uralkali's main markets in addition to Brazil, China, Southeast Asia, the United States and Europe. Last year, Uralkali supplied more than 40 countries with potash and sales increased by 9 percent, reaching nearly 10 million tons.
