Bolivia opens a gigantic fertilizer export market with Brazil

Machine translation was used to publish the following Ministry of Hydrocarbons and Energy release

UCOM MHE 07-09-2024.- Presidents of Brazil and Bolivia sign cooperation agreement for the promotion and marketing of fertilizers, as well as the promotion of the sale of sodium chloride produced by the Bolivian State for the Brazilian market, under conditions of mutual benefit, availability and demand.

The agreement signed this July 9 between the dignitaries of Brazil and Bolivia provides for the sustained growth of supply to the Brazilian market. In the first phase, Bolivia will offer more than 25,000 metric tons of NPK and slow release urea, in addition to a potential of 350,000 tons per year of potassium chloride. The document projects this trade relationship for the first 5 years, predicting a second phase with the export of at least 224,000 additional metric tons of Bolivian fertilizers.

Brazil is consolidating itself as a strategic ally for Bolivia, given its agricultural frontier expansion plan that demands more than 9 million tons of fertilizers annually. Lula's visit to Bolivia marks a new era in the strengthening of industrial and commercial integration, with the aim of guaranteeing energy and food security for the benefit of both countries.

The implementation and execution of this agreement will be carried out by the competent companies and entities, such as YLB for potassium chloride and sodium chloride, EBIH for the industrialization of NPK, and YPFB for the production of UREA. Negotiation conditions will comply with current legislation and international market prices.

This bilateral agreement not only establishes a solid commercial relationship, but also promotes the development of cooperation mechanisms in marketing, search for markets, and promotion of industrial and technological growth.

With this agreement, Bolivia ensures a promising future for the industrialization of fertilizers, guaranteeing an extensive market for the expansion of sales for the benefit of state and private companies involved in the production and marketing of fertilizers and sodium chloride.