India has agreed to pay 6 per cent higher price than the previous year to Russia's Uralkali for importing 650,000 tonnes of potash in the year beginning August, said PS Gahlaut, managing director of Indian Potash Ltd on Friday (28 July).
For the next year, India will buy potash at $240 a tonne, Gahlaut told Reuters. He said other sellers including Potash Corp of Saskatchewan are likely to offer similar prices for potash.
Potash contracts signed by India, one of the world's top buyers of the crop nutrient, help set the global benchmark along with buying by China, the world's biggest consumer.
Indian contract prices are closely watched by other regional buyers Malaysia and Indonesia.
Reuters last week reported that Indian could agree higher prices due to improved global demand for potash.