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April 15, 2010

Uralkali signs agreements with Russian complex fertilizer producers for 2010

Uralkali (Berezniki, Perm Territory) has signed agreements to supply Russian complex fertilizer producers Acron and Uralchem with potassium chloride at 4,300 rubles per tonne (FCA, exclusive of VAT and transportation charges) in 2010.

Under the agreements, Uralkali will supply 450,000 tonnes of potassium chloride to Acron, and around 85,000 tonnes to Uralchem. These volumes will ensure that Russian farmers’ demand for complex fertilizer is fully met this year.

The price level set by Uralkali for Russian complex fertilizer producers is in line with the recommendations from the Russia’s Ministry of Industry and Trade and Russia’s Federal Antimonopoly Service (FAS), and reflects the company’s commitment to supporting domestic agriculture.

As part of its policy to support the Russian agricultural sector during the financial crisis, Uralkali supplied potassium chloride to Russian complex mineral fertilizer producers at a temporary price of 3,955 rubles per tonne in 2009. Thus, in 2010 the price for this group of customers has increased by 8.7%.

In the event of any material changes to the economy and business environment during 2010, Uralkali does not rule out the possibility of revising the terms of these agreements, subject to the consent of all parties.

 

 

 

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