New Delhi: An NMDC-led consortium of four state-run companies and one cooperative Thursday signed an agreement to buy 30 percent stake in Russian fertiliser producer ACRON's USD 2-billion potash mine project.
While mining giant NMDC will have 15 percent stake in the project, the remaining 15 percent will be shared among Rashtriya Chemicals and Fertilizers (RCF), Kribhco, FACT and National Fertilizers Ltd.
The project is being undertaken by ACRON's subsidiary Verkhnakamsk Potash Company (VPC) for development of Talitsky Potassium-Magnesium deposit in Perm Krai, Russia.
The agreement was signed by NMDC Chairman and MD Narendra Kothari and ACRON Senior Vice President Alexander Popov, an official statement said Thursday.
India imports 100 percent of its requirement of potash, which was about 3 million tonnes (MT) in 2013-14.
In 2013-14, potash was imported at an average price of USD 390 per tonne. In the current fiscal so far, the country has imported 2.7 MT of potash at an average price of about USD 330 per tonne. Indian Potash Ltd is one of the major importers of potash while Russia and Ukraine are major suppliers.
Potash is a decontrolled fertiliser and government pays fixed subsidy on it. It is mainly used in the form of Muriate of Potash (MoP) by farmer as soil nutrient and also used in the manufacturing of complex NPK fertilisers.
