In a major development set to significantly bolster India’s agricultural supply chain, three Indian fertilizer companies — KRIBHCO, IPL (Indian Potash Ltd), and Coromandel International Ltd. — have signed long-term agreements with Ma’aden, Saudi Arabia’s leading mining and phosphate company, for the annual import of 3.1 million metric tonnes of Diammonium Phosphate (DAP).
The agreements were formalized during the official visit of Union Minister for Chemicals & Fertilizers and Health & Family Welfare, Shri JP Nadda, to Dammam and Riyadh from July 11–13, 2025. To the uninitiated, Saudi Arabia is a major source of India’s fertilizer imports whereas Ma’aden is a leading producer.
A Big Win for India’s Cooperative Fertilizer Sector
Among the signatories, KRIBHCO, one of India’s largest cooperative fertilizer organizations, played a key role — further underlining the growing global presence of India’s cooperative sector.
These agreements mark a significant rise in Diammonium Phosphate (DAP) import from Saudi Arabia, increasing supply to 3.1 million MT annually for five years from 2025–26. In 2024–25, India imported 19.05 LMT of DAP from the kingdom, a 17 per cent increase over 16.29 LMT during 2023–24.
Ministerial-Level Discussions and Strategic Focus
On the final day of his visit, Minister JP Nadda met with Bandar bin Ibrahim Al Khorayef, Saudi Minister of Industry and Mineral Resources, to discuss expanding bilateral partnerships in fertilizers, petrochemicals, and pharmaceuticals.
Both leaders witnessed the official signing of the supply agreements and committed to extending cooperation to other essential fertilizers, including Urea and NPKS, to enhance India’s fertilizer security.
The discussions also explored mutual investment opportunities, enabling Indian Public Sector Undertakings (PSUs) to invest in Saudi Arabia’s fertilizer production infrastructure. Saudi investments in India’s fertilizer sector were also welcomed as part of a reciprocal engagement.
Joint Working Group and Research Collaboration
To facilitate ongoing engagement, a Joint Working Group has been constituted, led by India’s Secretary (Fertilizers) and Saudi Arabia’s Vice Minister for Mining Affairs. This team will oversee long-term collaboration, including research and development of India-specific customized and alternative fertilizers, aimed at enhancing agricultural productivity and sustainability in line with cooperative principles of innovation and farmer service.
Energy, Health, and Strategic Partnership Dialogues
Nadda also held a bilateral meeting with Prince Abdulaziz bin Salman Al Saud, Minister of Energy, Kingdom of Saudi Arabia and co-chair of the Economy and Investment Committee of the Strategic Partnership Council between India and Saudi Arabia. Their dialogue focused on strengthening economic cooperation under the Economy and Investment Committee, further broadening the strategic scope of bilateral relations.
In the health sector, Nadda met Abdulaziz Al-Rumaih, Saudi Vice Minister of Health, to discuss enhanced cooperation in digital health, pharmaceutical trade, medical services, and capacity building. The leaders acknowledged the significance of the India–Saudi MoU on Health, signed during Prime Minister Modi’s recent state visit, as a guiding framework for deeper engagement.
On-Ground Engagement with Ma’aden and Business Leaders
On July 12, the Indian delegation visited Ma’aden’s phosphate production facility at Ras Al Khair, where they were received by Hassan Al Ali, Chairman of Ma’aden Phosphate, and senior officials. Ma’aden is one of the primary fertilizer suppliers to India and plays a significant role in meeting global phosphate demands.
