Saudi Arabia and India are planning to develop a phosphate and fertiliser supply chain amid the disruption caused by the Iran war.

Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef and India’s Minister of Chemicals and Fertilizers Jagat Prakash Nadda virtually discussed ways to enhance cooperation in the fertiliser sector, the state-run Saudi Press Agency reported on Tuesday.

In August 2022, the Saudi Arabian Mining Company (Ma’aden) had signed four MoUs with leading Indian fertiliser companies to double its exports of phosphate products and ammonia.

Indian companies have also undertaken studies to establish phosphate production plants in Ain Sokhna and New Valley governorate in Egypt.

In April, S&P said it disruptions in the Strait of Hormuz could affect a significant share of global fertilisers and petrochemicals exports, including 47 percent of sulphur, 35 percent of urea, 26 percent of diammonium phosphate (DAP), and 24 percent of ammonia. 

(Editing by Anoop Menon) (anoop.menon@lseg.com)

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