IPL Not To Import Potash At Not More Than USD 470/ton.

The country''s leading potash importer Indian Potash Ltd (IPL) today said it will not import fertiliser potash from the global markets at a price more than USD 470 a tonne.

Belarusian Potash Company (BPC), a leading global potash exporter, had last month agreed to supply potash at USD 470 per tonne to Chinese firms and now it is not willing to sell the product at the Chinese price to India, the world''s largest importer of potash.

"We will not pay more than China. We will take the negotiation forward only after studying the commercial terms entered between BPC and Chinese importers," Indian Potash Ltd Managing Director P S Gahlaut told PTI.

The Russian company is bargaining hard to get USD 500 per tonne from Indian Potash, he said.

Sharing similar views, cooperative major IFFCO Managing Director U S Awasthi said: "Global suppliers need to treat India with more respect as the country imports roughly 10 per cent of the global potash production".

"We do not mind buying potash at USD 470 a tonne, but the global suppliers are demanding USD 500, which we cannot accept at any cost. It is also a matter of India prestige," he said.

Fertiliser Association of India (FAI) Director General Satish Chander also said, "India being the world''s largest potash importer, there is no reason for us to pay more than what China has paid. It seems that the suppliers have formed a cartel and are trying to dictate the prices."

Major potash suppliers, including Canpotex, are quoting a rate of around USD 500 per tonne for potash whereas Indian companies have demanded that the price should not be over USD 420 per tonne, which is the benchmark import parity price fixed by the government of India.

India imports around 6 million tonnes of potash annually.

Source : in.news.yahoo.com