India to receive 1 mpta of urea from Omifco till 2031

Omifco secures major supply agreement with India: Oman India Fertiliser Company (Omifco) will supply c. 1 mpta of urea to the Indian government under a back-to-back agreement, according to a filing (pdf). Beginning August, OQ Trading will purchase c. 2 mpta from Omifco, half of which will be earmarked for Indian buyers through February 2031.

How it works: The agreement forms part of Omifco’s revised urea offtake framework with OQ Trading. Under the agreement, OQ Trading will purchase Omifco’s export volumes — excluding domestic sales in Oman — and supply them to the Indian government. Omifco’s sales to OQ Trading will remain linked to select Middle East FOB netback indices, while India-bound volumes will be priced against India-specific benchmarks.

The supply agreement comes weeks after Omifco raised USD 678 mn from its IPO, valuing the company at about USD 2.6 bn. Before the listing, Oman Oil Company held 50% of Omifco, while Indian Farmers Fertiliser Cooperative and Krishak Bharati Cooperative held 25% each.

Why it matters: The agreement locks in a long-term offtake channel for India while giving newly listed Omifco greater longer-term visibility over its export volumes. It also reinforces the strategic role the India-Oman fertilizer partnership continues to play in India’s food security and fertilizer import strategy.