Pupuk Indonesia issues MOP tender to buy

: Fertilizers
19/05/23

State holding company Pupuk Indonesia has issued a potash tender requesting supplies for its subsidiary companies, which include main MOP buyer Petrokimia Gresik.

A total of 330,000t of standard MOP are requested through the tender, which will see technical offers close today and price offers submitted by e-tender on 28 May, said market participants.

Deliveries range from July to the end of December, with company allocations as follows:

• Petrokimia Gresik, 275,000t

• Pupuk Kujang, 15,000t

• Pusri, 20,000t

• Pupuk Kaltim, 20,000t.

Direct confirmation from Pupuk Indonesia was unavailable.

Petrokimia Gresik's tenders to buy, which traditionally are held individually, are important price benchmarks for the market.

Its previous tender in October 2018 was awarded at $315/t cfr. But regional spot prices have trended lower since then amid imbalanced supply-demand and weak crop returns, especially for palm oil.

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