Indian Potash in Deal With Belarusian Potash Company

NEW DELHI: Indian Potash Limited (IPL) has signed a contract with Belarusian Potash Company to supply 1 million tonne of potassium chloride, striking the first potash contract of the year. IPL accounts for 60% of potash fertilisers supplied to India. “We have signed the potash contract at $427 a tonne.

The supply will be spread over the year starting from March this year,” said IPL managing director PS Gahlaut. “China had struck a potash deal at $400 a tonne. We were expecting the Indian deal to be around $412 a tonne looking at the 6-month credit India gets. Now this will be a benchmark for other deals,” said the owner of a fertiliser company.

“Due to erratic monsoon and unprecedented increase in fertiliser prices, demand fell 50% last year. Now that the minimum support prices of crops have gone up, demand is likely to go up at least by 10%,” Gahlaut said.