Pupuk Indonesia announces tender to buy DAP

State-owned holding company Pupuk Indonesia has called a tender requesting 175,000t of DAP to be delivered between March and August, market participants said.

Pupuk Indonesia last week indicated its intention to buy and has now set a closing date of 24 January for technical submissions.

Successful parties will subsequently be invited to submit price offers, which should be index-linked, during an online tender. Pupuk Indonesia will advise parties three days before the auction date.

The DAP is being sourced for its subsidiary companies, to be allocated as follows: Petrokimia Gresik 80,000t; Pupuk Kaltim 40,000t; Pusri 15,000t and Pupuk Kujang 40,000t.

Pupuk Indonesia was not immediately available for confirmation.

The last Pupuk Indonesia DAP tender in November was awarded to trading firm Indevco at prices netting $405-410/t fob China.

Chinese DAP prices have eased since then and were last assessed at $393-400/t fob by Argus.