Poland's ZChP strikes fertilizer deal with Brazil trader

05 December 2013 17:16 Source:ICIS News

LONDON (ICIS)--Poland's Zaklady Chemiczne Police (ZChP) has struck a zloty (Zl) 125.5m ($40.6m, €29.9m) deal to sell multi-component fertilizers to Brazil's Comexport Companhia De Comercio Exterior, ZChP said on Thursday.

The three-year arrangement with the Sao Paulo-based import-export trader, to take effect from 1 January 2014, would give ZChP greater scope to sell fertilizers into Brazil, one of the world's most promising fertilizer markets, the Polish company added.

The deal with Comexport follows ZChP's 8 November announcement of a three-year contract worth approximately Zl 607.9m to deliver multi-component fertilizers to trader Nitron International of the US, a deal that ZChP said would greatly strengthen the presence of its fertilizers on South American markets.

That particular deal would see ZChP supply Nitron with its own multi-component fertilizers, along with ammonium nitrate and ammonium sulphate fertilizers sourced from ZChP's owner, Grupa Azoty, and sister company, Polish nitrogen fertilizer producer Zaklady Azotowe Pulawy (ZAP), it added.

The deal would help ZChP strengthen its presence in South American markets, the company said, noting that this is a key sales sphere for fertilizer trader Nitron.

ZChP, based in Police in the far north west of Poland near the Baltic coast, also produces titanium dioxide (TiO2).

($1 = €0.74, $1 = Zl3.09, €1 = Zl4.20)

By Will Conroy