Moroccan phosphates and Brazilian fertilizers firms mull $ 265 Mln joint venture

Moroccan state-owned phosphates company (OCP) and Brazilian fertilizers company "Bunge fertilizantes" have agreed to start deep studies for the creation of a joint venture.

A document was signed between Chief executive Officer of OCP, Mourad Cherif, and the Brazilian firm chairman, Mario Barbosa, during the official visit of King Mohammed VI to Brazil last week.

The two enterprises will build in Morocco an integrated plant of phosphoric acid, fertilizers and phosphoric fertilizers for an investment of $ 265 million.

The two companies had decided in May 2004, during the annual conference of the international association of fertilizers, held in Marrakech, to establish a strategic alliance under which OCP will cover 70% of Bunge Fertilizantes' needs for the Latin American market.

OCP exports to Brazil have doubled in two years and are scheduled to reach $ 250 million in 2004.