Fertilizer producers Uralkali and Uralchem are freezing prices for potassium and ammonium nitrate until the end of the autumn season at the level of May 2021, Dmitry Konyaev, chairman of the board of directors of Uralchem, told reporters.
According to him, the rise in prices for potash supplied by the companies by the end of the year will not exceed 15%, saltpeter - 25-30%.
“We have decided to freeze potash prices for supplies to Russian agricultural producers at the level of May 2021. We will carry out freezing for the entire autumn field season. This means that the rise in potash prices in 2021 will not exceed 15%, ”he said. At the same time, since the beginning of the year, world prices for potash have already increased from 50% to 70%, depending on the region, Konyaev noted. The company commits to supply no less potassium than last year.
The company made a similar decision on ammonium nitrate, he added. According to Konyaev, in five months of 2021, prices for ammonium nitrate in the Russian Federation increased by 25%. “We have decided to freeze the price of ammonium nitrate when supplied to Russian agricultural producers at the level of May 2021 for the entire autumn field season. Accordingly, the rise in prices for Uralchem's ammonium nitrate in 2021 will not exceed 25-30%, ”he said. In 2021, 80% of the ammonium nitrate produced by Uralchem was supplied to the Russian market.
“For producers of complex fertilizers, we will also fulfill all obligations in terms of supply volumes and prices in accordance with the recommendations of the Federal Antimonopoly Service,” he said.
Konyaev explained that fertilizer prices have been fixed since June, the freeze will be in effect until the end of field work in October - November.