PremiumIn the current geo-political situation when international prices of MOP have witnessed extreme volatility, the long-term agreement signed by RCF is a significant step towards maintaining stability of price of MOP in the country
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New Delhi: Union minister of chemicals and fertilizers Mansukh Mandaviya on Tuesday was presented with a Memorandum of Understanding (MoU) signed by Rashtriya Chemicals and Fertilizers (RCF) with K Plus S Middle East FZE DMCC, a subsidiary of K + S Minerals and Agriculture GmbH, Germany.
The MoU aims to improve the availability of MOP (Muriate of Potash) for farmers and boost indigenous production of various grades of complex fertilizers.
As a part of the MoU, K plus S will supply 1,05,000 MT MOP per annum from 2022-25 at a discounted India specific price. “K plus S will supply MOP to RCF for its captive consumption as well as its trading purposes. This quantity will fulfill the requirement of 60% of captive consumption of RCF," said Ministry of Chemicals and Fertilizers.
Mandaviya said this agreement signed by RCF will go a long way to ensure adequate supply of MOP at reasonable price to the Indian Farming Community. “In the current geo-political situation when international prices of MOP have witnessed extreme volatility, the long-term agreement signed by RCF is a significant step towards maintaining stability of price of MOP in the country."
To ensure fertilizer availability for the farming community, the government of India has been encouraging the domestic fertilizer industry for establishing supply linkages through long term partnerships with resource rich nations. “Given India’s high dependence on imports of raw material and fertilizer 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," the ministry added.