Offers for Indian Potash urea tender total over 1m tonnes

10 September 2009 10:19  [Source: ICIS news]

LONDON (ICIS news)--Indian Potash Ltd (IPL) has received offers totalling over 1m tonnes from recognised fertilizer companies under its latest urea purchase tender, market sources said on Thursday.

IPL’s tender for an unspecified quantity of urea closed on 10 September, with offers to be valid until 14 September.

Including optional tonnages, over 1m tonnes were offered by a range of traders and suppliers.

The lowest offer came from traders Transammonia at $268/tonne (€185/tonne) CFR (cost and freight) Mundra for 50,000-60,000 tonnes of urea.

Arabian Gulf producers SABIC, Qatar Fertiliser Co (QAFCO) and Petrochemical Industries Co (PIC) offered a total of 250,000 tonnes at $257-258/tonne FOB (free on board), which would reflect the low-$270s/tonne on a CFR basis.

Awards are expected to be issued on 11 September.

IPL requested shipment during September and October.

IPL was expected to purchase between 500,000-700,000 tonnes of urea under the tender if it found the prices acceptable, according to market sources.

($1 = €0.69)

For more on urea visit ICIS chemical intelligence

By: Carl Roache
+44 20 8652 3214

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