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Israel Chemicals sells potash to India's IPL company in estimated 914-mln-USD deal

Source: Xinhua| 2018-12-28 01:28:11|Editor: Mu Xuequan
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JERUSALEM, Dec. 27 (Xinhua) -- Israel Chemicals (ICL) company announced Thursday that it has signed a five-year deal to supply at least 3.15 million tons of potash to Indian Potash Limited (IPL) company, India's largest potash importer.

According to the agreement, ICL will supply IPL with 600,000 tons of potash per year in 2019-2020, and 650,000 tons per year in 2021-2023, with options for expanding the quantity.

IPL was founded in 1955 and is headquartered in the eastern coastal city of Chennai. The price of the potash it will pay will be determined according to the price in India at the relevant supply date.

At the end of last August, ICL signed an agreement to supply 550,000 tons of potash to another Indian customer at a price of 290 U.S. dollars per ton - the price at which Belarus Potash company supplied potash to the Indian market a few days earlier.

Therefore, if the price of potash that ICL will provide IPL will be at least 290 U.S. dollars, the total contract will reach about 914 million U.S. dollars.

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