Ufandi III was the third planet in the Ufandi system.
In 2370, the Duras sisters tried to sell magnesite from Kalla III to a Yridian freighter near Ufandi III. However, the deal was stopped when the USS Enterprise-D arrived to search for the sisters and ended the transaction of the illegally-mined magnesite. (TNG: "Firstborn")
According to the script, the pronunciation for Ufandi was "oo-FAHN-dee". 
The planet was not named in the episode, where it is described as the third planet in the Ufandi system. The name comes from StarTrek.com
and the Star Trek Encyclopedia (3rd ed., p. 531).