Vinachem, Vietnam's state-owned chemical group, has signed a strategic cooperation agreement with Egypt's Kayan for International Trade, securing a major supply of apatite ore—a key raw material for phosphate fertilizers. The deal, valued at an estimated 40 million USD in 2025 imports, is set to significantly boost Vinachem's sourcing capacity and open new markets for its chemical and fertilizer products across Egypt and the Middle East-North Africa region.
Deal highlights
On April 14, Vinachem signed a Memorandum of Understanding (MoU) with Kayan for International Trade, which controls approximately 40% of Egypt's apatite mining and export market. Kayan will leverage its logistics and supply chain strengths to deliver raw materials to Vinachem's factories, with Vinachem planning to increase annual apatite imports from 415,000 tonnes in 2025 to between 1 and 1.5 million tonnes.
Market expansion strategy
Beyond raw material supply, the two parties aim to expand market access for Vinachem's flagship products, including fertilizers, industrial chemicals, batteries, and consumer goods. Kayan will act as a gateway to introduce these products into the Egyptian and broader MENA markets, supporting Vinachem's long-term growth in the region.
Diplomatic support
The Vietnamese delegation, led by Vinachem General Director Nguyen Huu Tu, also met with Vietnam's Ambassador to Egypt, Nguyen Nam Duong, on the same day. The ambassador praised Vinachem's efforts and confirmed the embassy's readiness to assist in market research, partner connections, and operational deployment in Egypt.
What buyers should watch
Overseas buyers of phosphate fertilizers and industrial chemicals should monitor this development as it signals a potential increase in Vietnamese exports of finished chemical products to the MENA region. The expanded apatite supply chain may also stabilize global phosphate fertilizer prices by securing a major raw material source for Vinachem, a key Asian producer.
Source: Read the original report | Published: April 16, 2026