ICL to supply India with 835,000 tonnes of potash
Israel's ICL has signed several contracts to supply its Indian customers with a total of 835,000 tonnes of potash.
The world's sixth largest potash producer said on Friday that the new contracts, which are $10 per tonne above previous contracts, "demonstrate the strong relationships that ICL has developed with its customers in India who elected to wait until the conclusion of ICL’s recent strike to negotiate the contracts with ICL Fertilizers."
The strike in Israel involving around 2,000 employees lasted four months. The workers returned to their jobs at the end of May, averting mass layoffs at three Dead Sea-area factories.
Commenting on the news, Nissim Adar, president & CEO of ICL Fertilizers, said, "The new contracts that we have signed with our customers in India confirm our leading position in the strategic Indian market, whose potential for rapid growth is expected to be a leading driver of worldwide potash demand for years to come as a result of the rise in India’s standard of living, among other factors, which is transforming eating habits and driving the need to provide sufficient quantities of food for a large population that will only continue to grow in the future."
ICL says it is active in India through its ‘Potash for Life’ farmer training program and promotion of potash consumption. The program, launched in October 2013, is designed to unlock the potential of agriculture in India by promoting balanced fertilization among India’s farmers to increase agricultural productivity and economic benefits, as well as to contribute to the creation of sustainable food production in India.
ICL Fertilizers had revenues of $3.4 billion in 2014, with 52 percent of external sales coming from potash and 48 from fertilizers and phosphates. It produced 5.15 million tonnes of potash in 2014, with its main markets encompassing China, India, Europe and Brazil.