One of the key countries of Africa, Morocco has come to India’s help after China suspended the export of an important component. It is used for the manufacture of fertilizers integral for Indian farmers.
India has taken help from Morocco to receive fertilizers after China suspended the export of an important reagent used to manufacture fertilizers named ammonium phosphate.
On the visit of the Fertiliser Minister Mansukh Mandaviya Morocco, Morocco’s biggest phosphate manufacturing company, announced that it has signed an agreement with India to distribute 1.7 million tonnes of phosphate-based fertilizer during the last months in New Delhi.
Based on the agreement, the OCP group will supply 700,000 tonnes of fertilizers to India and the fertilizers would be manufactured in the same way. It will help to meet the requirements of the plants and crops that they are prescribed for. The fertilizer-producing company will directly provide the farmers with another million tonnes of fertilizers. The statement was stated by OCP.
With the help of the agreement with Morocco, India will help to secure a long-term supply of phosphate compounds, The phosphate salts can be used for the manufacture of diammonium phosphate (DAP) and are rich in nitrogen, phosphorus, and potassium.
The shipments of fertilizers will increase the yields. It will help to increase the incomes of Indian farmers, according to the statement by OCP.
The agreement has resulted in a partnership to improve food security, underlining the common plan to result in innovative and sustainable agriculture.
The agreement between Morocco and India has covered many joint initiatives in the fields of Research and Development. The collaboration will help to create innovative solutions that would increase the efficiency of fertilizers.
OCP has adopted a unique perspective that increases innovation to decrease the cost of production while using sustainable raw materials.
The companies in Africa employ the state of the art mobile factories to test the soil sample and increase fertilizer production.
How has Morocco become a significant player for India?
Morocco is not just limited to being a crucial player in the Arab World, but it has also been a power of moderation for decades and a crucial African power with significant control in Europe and the USA. Morocco’s geopolitical relations have enhanced due to the USA’s acceptance of sovereignty and the activation of ties between the two nations.
Twenty-three ministerial visits have taken place bilaterally, and more than forty-three agreements have been signed during the last few years in Morocco. Both countries are working on further cooperation in different matters, including New Technologies, space, defense, intelligence, etc.
Currently, Morocco is the second largest investor nation in Africa. It is based on the perspective that Morocco is likely to develop joint initiatives and investments with India. The two countries are enjoying a positive image in the world. India has helped Morocco’s reentry into the African continent.
China has surprised the phosphate fertilizers markets while extending the export restrictions through the end of 2022.
The original restriction has resulted in the six Chinese manufacturers shutting down their operations due to the decreasing demand for their products.
The world has come back to the prediction that production would be restored when the restrictions would remove in June.
But, instead, China continued to increase the frame of restriction. China has implemented a quota limiting the total phosphate exports to 3.16 million tonnes during the second part of 2022, which has declined from 5.5 million in the same period of 2021.
It has been predicted that China’s average DAP production will slump to 40 percent compared to the three-year average. On the other hand, MAP exports have declined by 46 percent.
The restriction by China was found to be serious as it would directly impact the agricultural sector. The limits on phosphates will tighten the exports and increase the prices, which would have proved to be a burden for the farmers or force them to grow crops without fertilizers.
Many countries, including Argentina, have been severely disturbed by the decision. There are very few phosphate-supplying countries in Argentina, and the tightened policy in China has caused an impact.
edited and proofread by nikita sharma
