Exports of mineral fertilisers from Russia to the European Union (EU) in 8M24 increased by 43% year-on-year (y/y) to 3.3mn tonnes, Vedomosti daily reports citing the data of Metals & Mining Intelligence (MMI). In monetary terms, exports increased by 32% to EUR1.1bn ($1.21bn).

As reported by bne IntelliNews, Russia remains a major exporter of fertilisers which have not been sanctioned.

According to the Vedomosti report, in 8M24 the bulk of exports was accounted for by complex fertilisers (complex fertilisers containing several nutrients), with shipments of which grew 1.8-fold to 1.2mn tonnes in 8M24. Potash fertiliser exports to the EU increased even more by 2.6-fold to 0.37mn tonnes. Nitrogen fertiliser exports were up by 13% y/y to 1.7mn tonnes.

The largest buyers of Russian fertilisers in the EU in 8M24 were Poland (857,000 tonnes), France (380,000 tonnes) and Germany (375,000 tonnes). Poland increased its imports 2.7-fold y/y, France increased its imports by 18%, and Germany reduced its purchases by 17%. 

The growth in fertiliser exports to the EU is due to higher production costs for local producers, who are affected by higher natural gas prices this year, MMI Fertiliser Market Manager Maxim Bratchikov commented to Reuters. Availability of fertilisers from other countries in Europe is also lower due to the conflict in the Middle East and more complicated supply logistics, he added.

Vedomosti reminds that the cost of fertiliser production in the EU, especially for nitrogen fertilisers, has risen sharply in 2022 as gas prices for ammonia (the raw material for nitrogen fertilisers) and power plants - fertiliser 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 Organisation, Russia is the world's largest exporter of nitrogen fertilisers and the leading exporter of potash and phosphate fertilisers. 

Russia's largest fertiliser producers are Uralchem Group (including Uralkali), Phosagro, Acron and Eurochem. According to Rosstat, Russia's fertiliser production rose 12% to 18.8mn tonnes of active ingredients in 8M24. Ammonia output increased by 6% to 12mn tonnes.