QatarEnergy has signed a significant 15-year urea supply agreement with Koch Fertilizer, a prominent U.S.-based fertilizer producer and supplier. Starting in July 2024, the agreement stipulates the supply of up to 0.74 million tons per annum (MTPA) of Qatari-origin urea to Koch Fertilizer. This agreement will cater to the agricultural sectors in the U.S. and other international markets.
Qatar’s position in global fertilizer market
Notably, Qatar is the world’s second-largest global exporter of urea. In addition, QatarEnergy’s affiliate, Qatar Fertilizer Company (QAFCO) is the world’s largest single-site producer of urea and ammonia. Therefore, this agreement further enhances Qatar’s role in the global fertilizer market, reinforcing its commitment to providing high-quality agricultural products worldwide.
Commenting on the agreement, Eng. Saad bin Sherida Al Kaabi, minister of state for energy affairs, the president and CEO of QatarEnergy, said: ” This agreement marks a significant step in advancing synergy and cooperation and fostering mutual growth and value for both sides.”
Supporting global agricultural sector
This agreement highlights QatarEnergy’s strategy for establishing longstanding relationships with reliable leaders of the fertilizer industry. Hence, its collaboration with Koch Fertilizer has extended over the past decade. Moreover, it reiterates the company’s commitment to supporting the global agricultural sector.
For his part, senior vice-president of Koch Industries and president of Koch Fertilizer, Mark Luetters, said: “The agreement aligns with Koch Fertilizers’ long-term vision and presents an exciting opportunity to better serve our customers.”
Koch Fertilizer is a subsidiary of Koch Industries with fertilizer plants in North America, Trinidad and Tobago, and Morocco. In addition, the company has distribution facilities and terminals in the U.S., Canada, Mexico, Brazil, Australia, and other international markets.
For more news on industry, click here.
