In an effort to increase food production, satisfy rising consumer demands, and guarantee food security, the government has signed a new two year agreement with Saudi Arabia to import 400,000 tons of fertilizer. The South Asian nation, which is among the most populated states in the world, is seeing a decline in its ability to produce food due to rapid urbanization and population growth, according to the Arab News. Bangladeshi officials, however, are working nonstop to stabilize the situation. On December 15, the Saudi state-owned business Ma’aden and the Bangladesh Agricultural Development Corporation (BADC) signed the agreement in Riyadh. The two have been together for a long time.
“Our 175 million people depend on high-quality fertilizer to ensure their food security. According to BADC General Manager Ahmed Hassan Al-Mahmud, “this fertilizer helps us increase productivity greatly,” he told Arab News.
Ma’aden will provide training to Bangladeshi farmers and deliver 400,000 tonnes of diammonium phosphate fertilizer year until 2026 as part of the most recent agreement. Al-Mahmud stated, “The Saudi state-owned fertilizer company offered to train the farmers here for the purpose of knowledge transfer on optimizing the use of the DAP fertilizers.” Ma’aden has also been offered the opportunity to construct fertilizer warehouses in Bangladesh.
About one-third of Bangladesh’s yearly DAP fertilizer requirements, or about 1.3 million tonnes, would come from Saudi imports, he continued.
Because the fertilizers are $2 cheaper per tonne than the average market price, Bangladesh stands to gain more from the most recent arrangement.
“It will save us a significant amount of money,” Al-Mahmud stated. “Saudi Arabia has been our trusted supplier for a long time, and we can purchase it at a reasonable rate compared with other sources.”
Source: The Business Standard
