Hanoi (VNA) – Egypt’s Kayan for International Trade will supply apatite ore to fertiliser plants in Vietnam run by Vietnam National Chemical Group (Vinachem), leveraging its advantages in supply capacity, competitive pricing, and optimal logistics costs.
It is part of their Memorandum of Understanding (MoU) on strategic cooperation recently signed in New Cairo, Egypt.
Under the MoU, detailed terms covering quality, pricing, delivery schedules, and payment will be finalised in separate commercial contracts in the near future. The deal is designed to help Vinachem secure stable raw material supplies for its fertiliser production amid ongoing volatility in global commodity markets. Vinachem will import through its trading units in Vietnam.
A Vinachem representative said both sides also agreed to jointly develop markets for Vinachem’s key products, including detergents, tires and tubes, compound fertilisers, batteries, accumulators and other industrial and consumer goods. Kayan for International Trade will serve as a distributor or facilitate Vinachem’s access to distribution channels in the Egyptian market and neighbouring countries in the near term.
This partnership is seen as an opportunity for Vinachem’s industrial and consumer products to gradually penetrate the Middle East - North Africa market, which holds strong demand for chemicals and fertilisers.
The two sides will also establish a Joint Cooperation Steering Committee (JCSC), made up of senior representatives, to regularly review progress, address arising issues, and approve specific cooperation agendas.
According to Vinachem, Kayan for International Trade is one of Egypt’s largest apatite mining and exporting companies, holding about 40% of the domestic market share.
The signing of the MoU is not just a simple “ore import” business story, but also reflects a mindset of cooperation from the root of the supply chain, aligning with Vinachem’s orientation toward high-tech development, green economy, and international market expansion in the new stage./.
