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Saudi Arabia Fertilizers Co. (SAFCO) sets product prices based on demand and supply, in addition to other economic and technical criteria, chief executive, Ahmed Mohammed Al-Jabr told Argaam.
“SAFCO sees prices as potential challenges, and is open to all ideas and projects that would boost its strategic goals,” said Al-Jabr.
As for the measures the company should take to hedge against the potential slump in ammonia prices, Al-Jabr said the company’s strategies and precautionary measures have helped it to fulfill the market’s requirements, given the industry’s fluctuating nature.
SAFCO is looking at investment opportunities locally and globally in the field of plant fertilizers. It is also looking at stakes in peer companies to boost competitiveness and shareholder value. These plans came in line with its strategy 2025, aimed at undertaking a number of programs and projects that would improve performance and sustainability, he added.
SAFCO is working on increasing the production capacity of SAFCO IV-- which is expected to be complete by next year-- to 11 percent above its design capacity. The capacity at SAFCO III will be raised by 20 percent above design.
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