BPC to supply 600,000 tonnes of potassium chloride to China
13 January 2011
MINSK (BelTA) – Belarusian Potash Company (BPC) has signed a six-month contract with China’s top importers of mineral fertilizers Sinochem and CNAMPGC for the delivery of potassium chloride, BPC PR service head Fillip Gritskov told BelTA.
In line with the contract BPC will supply 600,000 tonnes of potassium chloride to China between 13 January and 30 June 2011, with the delivery of 120,000 tonnes as an option. The price will be $400 per metric tonne on CFR delivery terms.
To compare, in 2010 the price for a metric tonne of potassium chloride set by the contract that BPC signed with Sinochem and CNAMPGC was $350 on CFR delivery terms.
The contract BPC has signed is another important step in restoring the global potash market. The leading exporter of potash fertilizers and China’s top importers have once again demonstrated how much mutual understanding and partnering relations between manufacturers and importers of potash fertilizers are important for end customers and the fertilizer industry as a whole. The transition to six-month contracts is also a compromise decision that will enable market participants to more flexibly and timely respond to market changes, said BPC Director General Vladimir Nikolayenko.
Belarusian Potash Company was founded in 2005. The shareholders are Belaruskali (45%), Uralkali (50%), and Belarusian Railways (5%). BPC is the exclusive exporter of the fertilizers made by Belaruskali and Uralkali.