India, Saudi Arabia Seal Long-Term Fertilizer Supply Agreements
Politics

India, Saudi Arabia Seal Long-Term Fertilizer Supply Agreements

India has signed long-term fertilizer supply deals with Saudi Arabia to improve agricultural supply security. Union Minister JP Nadda returned from a three-day visit to Dammam and Riyadh, where he led a high-level group from the Department of Fertilizers and the Ministry of External Affairs.

During negotiations with Saudi Minister Bandar bin Ibrahim Al Khorayef, both countries witnessed the signing of long-term supply agreements by Maaden and Indian companies, including IPL, KRIBHCO, and CIL. These agreements will guarantee the delivery of 3.1 million metric tons of Diammonium Phosphate (DAP) fertilizer per year for five years, beginning in 2025-26, with the option to renew for another five years.

India imported 1.9 million metric tons of DAP fertilizer from Saudi Arabia in 2024-25, a 17% increase over the previous year. The new agreements will increase supplies for Indian farmers. Both sides also discussed expanding collaboration to include urea and conducting cooperative research on customised fertilizers to boost productivity.

Nadda also met with Prince Abdulaziz bin Salman Al Saud to improve economic ties, as well as the Saudi Vice Minister of Health, to develop collaboration in healthcare, pharmaceuticals, and digital health solutions, strengthening India’s ties with Saudi Arabia in key strategic sectors.