As part of the MoU, Canpotex, Canada will supply upto 15 LMT of Potash annually for a period of 3 years to the Indian fertilizer companies
In a significant step towards ensuring long-term fertiliser availability for the farming community, Indian fertiliser companies - Coromandel International, Chambal Fertilizers, and Indian Potash Limited have signed an MoU with Canpotex, Canada.
The MoU was presented to the Union Minister of Chemicals and Fertilizers Dr. Mansukh Mandaviya, Union Minister of Chemicals and Fertilizers.
Canpotex, Canada is amongst the largest suppliers of Potash globally, exporting around 130 LMT of product annually.
Union Minister Chemicals & Fertilizers hailed the signing of long term agreements between the companies for supply of MOP (Muriate of Potash) to the Indian farmers. Calling this a path-breaking step, Dr. Mansukh Mandaviya said, “The MoU will reduce both supply and price volatility and ensure stable long-term supply of Potassic fertilizers to India. The Government of India has been encouraging the domestic fertiliser industry for establishing supply linkages through long term partnerships with resource rich nations. Given India’s high dependence on imports of raw material and fertiliser minerals, these partnerships provide secured availability of fertilizers and raw materials over a period of time and also offer price stability in volatile market conditions.”
As part of the MoU, Canpotex, Canada will supply upto 15 LMT of Potash annually for a period of 3 years to the Indian fertilizer companies. This supply partnership is expected to improve the fertiliser availability within the country and reduce supply side and price vulnerabilities," added Mandaviya.
Understanding the importance of the MoU ahead of the upcoming cropping seasons, Dr. Mandaviya said, “This is a significant initiative as it will improve the availability of MOP for the farming community, uphold their welfare and contribute towards ensuring food security in the country.”
This MoU will lead to strengthening of our mutual relationship and furthering bilateral relations between the two countries added Dr. Mandaviya.
Dr. Mandaviya said, "The Government of India is working towards long term MoUs for Potash and other fertilisers with countries like Russia, Israel and others. Aiming at reducing import dependence, the Department of Fertiliser has included PDM (Potash derived from Molasses) in the Nutrient Based Subsidy Scheme (NBS) scheme to support indigenous sources of Potash. Similar initiatives have been taken by fertilizer industries for manufacturing of Potash from Spent Wash."
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