The imports, which represent approximately a quarter of India’s annual DAP needs, are expected to strain global supplies and bolster prices, already impacted by rising energy and freight costs.
Indian Potash Ltd (IPL) has arranged to procure 765,000 tons of DAP at $930 per ton on a cost-and-freight (CFR) basis for west coast delivery, alongside another 581,500 tons at $935 per ton CFR for the east coast, the sources revealed, requesting anonymity as they were not authorized to speak to the media.
IPL issued the tender in April for 1.2 million tons of DAP and received bids totaling approximately 2.3 million tons, with prices varying from $930 per ton to $1,100 per ton.
The company ultimately settled on purchasing 1.35 million tons after multiple suppliers matched the lowest bid, according to the sources.
The tender document stipulates that shipments must depart from loading ports by August 15.
Suppliers are anticipated to source DAP primarily from Saudi Arabia, Russia, Egypt, and Morocco, the sources added.
Last month, India, a major fertiliser importer globally, agreed to procure a record 2.5 million tons of urea in a single tender at nearly double the prices paid just two months prior.
