Uralkali plans sign a new contract with India by the end of March

Uralkali, the world’s largest potash producer, plans in late March or early April, to sign a contract for the supply of its products to India, announced Oleg Petrov, Sales and Marketing Director.

“In late March-early April, we will sign the contract and begin deliveries (to India – Ed.),” he said during a conference call.

The last contract with India, for the supply of 800,000 tons of fertilizer at the rate of $322 per ton, the company signed in April 2014. This was a one-year contract.

Mr. Petrov noted that negotiations with China have been drawn out. “I believe that this contract will be signed a bit later than usual,” he added.

The last contract between Uralkali and China was signed in January 2014, and was for only six months. The volume totaled 700,000 tons of fertilizer at a price of $305 dollars per ton. The signing of the new contract has been postponed several times since September of last year. Moreover, in July of 2014, Uralkali announced its intention to raise prices by 10%.

In February of this year, the company reported that negotiations on new contracts with India and China would resume in March 2015. The company also noted that the contract with India, for the first time in 7 years, might be signed before the contract with China.

First published in Russian by RIA Novosti.

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