For the next two years, the Kingdom of Saudi Arabia (KSA) would supply Bangladesh with four lakh metric tons of Di-ammonium Phosphate (DAP) fertilizer annually.
According to an agriculture ministry press release today, on December 15, the Bangladesh Agricultural Development Corporation (BADC) and Saudi state-owned enterprise Ma’aden signed an agreement in this respect in Riyadh.
The agreement was signed by BADC Chairman M Ruhul Amin and a representative of Ma’aden, one of the world’s fastest-growing mining businesses.
Dr. Muhammad Emdad Ullah Mian, the secretary of agriculture, was also in attendance.
Under the agreement, the company will supply four lakh metric tons of DAP yearly and it will continue till 2026.
The Saudi company has agreed to supply the DAP fertilizer at least two dollar less than the average market price of US$ 745 per ton.
According to a prior deal with Saudi Arabia, the new concession will add a four-dollar decrease in the price of DAP, bringing the overall price reduction to six dollars per ton. This will save around Taka 28.80 crore annually from the import of Saudi fertilizer.
The Saudi business has committed to building a fertilizer storage facility in Bangladesh and instructing Bangladeshi farmers on how to use fertilizer most effectively.
