Govt okays import of nine LNG cargoes, 237,000 tonnes of fertiliser

The government has approved the purchase of nine liquefied natural gas (LNG) cargoes and 237,000 tonnes of fertiliser from the international market to meet the country's energy and agricultural needs.

The Cabinet Committee on Government Purchase approved the proposals at a meeting on Tuesday, chaired by Finance Minister Amir Khosru Mahmud Chowdhury, who joined online from Thailand. The Ministry of Finance disclosed the decisions on Wednesday.

Under the LNG proposal, Singapore-based commodities and logistics company Trafigura Pte will supply nine cargoes between December 2026 and December 2027.

Each cargo will be priced at 10 cents below the Japan Korea Marker (JKM), the benchmark spot price for LNG delivered to Northeast Asia, per million British thermal units (MMBtu).

The Energy and Mineral Resources Division recommended Trafigura as the supplier.

The purchase will be made under a government-to-government (G2G) arrangement. The number of cargoes may be increased or reduced by mutual consent, depending on requirements.

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Cabinet body recommends procurement of LNG from 5 suppliers

Earlier, the Cabinet Committee on Economic Affairs granted policy approval for the direct purchase of LNG. It also approved two proposals to procure LNG under the G2G system to maintain stable gas supplies and strengthen energy security.

LNG imports play a crucial role in meeting domestic energy demand, particularly for power generation, industrial production and other gas-dependent sectors.

Meanwhile, the government purchase committee approved the import of 237,000 tonnes of fertiliser from Saudi Arabia, the United Arab Emirates, Russia and Canada at a cost of more than Tk1,000 crore.

The Bangladesh Chemical Industries Corporation and Bangladesh Agricultural Development Corporation will procure the fertiliser.

Of the total quantity, 82,000 tonnes will be urea, 40,000 tonnes diammonium phosphate and the remaining 115,000 tonnes muriate of potash.

The imports are expected to support domestic fertiliser supplies and meet agricultural demand.

The committee also approved a commerce ministry proposal to purchase 10,000 tonnes of sugar from Meghna Sugar Refinery Ltd in two lots at a total cost of more than Tk100 crore.