Exports of mineral fertilizers from Russia to the European Union increased by 43% year-on-year in August to 3.3 million tons, the Vedomosti business daily reported, citing data from Metals & Mining Intelligence (MMI).
In monetary terms, exports increased by 32% to 1.1 billion euros ($1.21 billion).
Russia remains a major exporter of fertilizers that have not been sanctioned, bne IntelliNews previously reported.
According to Vedomosti, the bulk of exports in August was accounted for by complex fertilizers (complex fertilizers containing several nutrients), shipments of which grew 1.8-fold to 1.2 million tons compared to August 2023. Potash fertilizer exports to the EU increased even more by 2.6-fold to 0.37 million tons. Nitrogen fertilizer exports were up by 13% year-on-year to 1.7 million tons.
The largest buyers of Russian fertilizers in the EU were Poland (857,000 tons), France (380,000 tons) and Germany (375,000 tons). Poland increased its imports 2.7-fold year-on-year, France increased its imports by 18% and Germany reduced its purchases by 17%.
The growth in fertilizer exports to the EU is due to higher production costs for local producers, who are affected by higher natural gas prices this year, MMI Fertilizer Market Manager Maxim Bratchikov told Reuters. Availability of fertilizers from other countries in Europe is also lower due to the conflict in the Middle East and more complicated supply logistics, he added.
Vedomosti noted that the cost of fertilizer production in the EU, especially for nitrogen fertilizers, has risen sharply in 2022 as gas prices for ammonia, the raw material for nitrogen fertilizers, and power plants — fertilizer production is energy-intensive — have skyrocketed. This has forced major European producers such as Poland's ANWIL and Grupa Azoty, as well as Lithuania's Achema, to suspend production.
According to the UN Food and Agriculture Organization, Russia is the world's largest exporter of nitrogen fertilizers and the leading exporter of potash and phosphate fertilizers.
Russia's largest fertilizer producers are Uralchem Group (including Uralkali), Phosagro, Acron and Eurochem. According to Rosstat, Russia's fertilizer production rose 12% to 18.8 million tons of active ingredients in 8M24. Ammonia output increased by 6% to 12 million tons.
This article was originally published by bne IntelliNews.
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.
