Indian Potash, PhosAgro and RDIF agree on fertilizer supplies, possible investments
MOSCOW. Oct 5 (Interfax) - The Russian Direct Investment Fund (RDIF), PhosAgro (MOEX: PHOR) and Indian Potash Ltd (IPL) have plan joint investments in mineral fertilizer production in Russia and India, the RDIF said in a press release.
"The parties to this agreement will consider the possibility of jointly implementing attractive investment projects in the area of mineral fertilizer production, including the construction of production facilities and related infrastructure, as well as the introduction of advanced technologies in Russia and India," the RDIF said.
"The agreement also provides for the supply by PhosAgro of mineral fertilizers, which are known for their low levels of potentially-harmful impurities and high levels of efficiency, to Indian partners on a long-term basis. The volume of mineral fertilizer supplies may amount to up to 2 million tonnes during the period from 2019 to 2021. The potential value of this volume of fertilizers is approximately $1 billion," it said.
"The mineral fertilizer market is one of the fastest and most dynamically developing sectors in Russia's agroindustry, in which about 70% of domestic produce is exported. A partnership with India's leading fertilizer producer will further strengthen the position of our portfolio company PhosAgro in international markets and will make an important contribution to the further development of bilateral trade and economic cooperation between Russia and India," said Kirill Dmitriev, the RDIF chief.