Russian agro-industrial complex increased purchases of domestically produced mineral fertilizers in 2021 by almost 20% to 4,7 million tons (in terms of 100% nutrients - d.v.), the press service of the RAPU (Russian Association of Fertilizer Producers) reports.
Taking into account the accumulated resources of 0,3 million tons, the total volume of acquisitions increased to 5 million tons. Thus, the plan for 2021 for the purchase of mineral fertilizers, revised by the Russian Ministry of Agriculture from 3,8 to 4,5 million tons of active weight, was exceeded, and by more than 20% in 2020.
The total volume of production of mineral fertilizers by RAPU participants increased by 5% to 54,7 million tons (in physical weight).
By mid-January of this year, the volume of purchases of mineral fertilizers by farmers (including accumulated resources) exceeded 0,7 million tons of active weight, which is 1,6 times more than in the corresponding period last year.
To alleviate the concerns of farmers regarding the availability of mineral fertilizers for spring sowing, temporary export quotas were introduced, effective from December 1, 2021 to May 31, 2022, which will not lead to a decrease in production capacity utilization.
To plan further long-term investments in the development of the industry, the volume of which for the next 7 years will exceed 2 trillion rubles, it is essential to preserve market mechanisms for the functioning of the mineral fertilizer industry. It is planned that as a result of the investment activity of RAPU participants from 2013, by 2026, the production capacity of the industry will almost double.
Last year, the enterprises participating in the RAPU invested almost 150 billion rubles in the development of the industry, aimed at capital investments in the framework of major projects to increase production volumes and expand the range of products for Russian farmers.
The development of exchange trading contributed to the increase in the availability of mineral fertilizers in Russia. Last year, the volume of exchange sales of mineral fertilizers at the St. Petersburg International Commodity and Raw Materials Exchange (SPIMEX) exceeded 1 million tons (about 540 thousand tons of AI).
On March 1, 2022, the law “On Agricultural Products, Raw Materials and Food with Improved Characteristics”, initiated by the President of Russia V.V. Putin in February 2019. The Federal Law will single out Russian "green" products, which are based on the unique eco-efficiency of domestic mineral fertilizers, into a separate segment, different from both organic products and the mass market. In Russia, everything is ready for the full-fledged introduction of a new national standard, the process of product certification has been debugged and tested. In March 2020, the first GOSTs in Russian history have already come into force, which define the reference requirements for the environmental safety of food products.