Russian government proposes to freeze agrochemical prices

As the Minister of Agriculture of Russia Dmitry Patrushev reported, to prevent the growth of prices for mineral fertilizers during spring field works, they may be frozen for 2-3 months.

“We believe, it’s possible to fix the cost of the main types of mineral fertilizers for at least the next 2-3 months for a regular sowing campaign. As a price base, we discussed the use of the next formula: the fair price is the average level of 2019 plus the projected inflation rate for 2021,” said Dmitry Patrushev.

According to his statement, a shortage of mineral fertilizers is not expected, the volume of their purchase in 2021 may increase by 0.5 million tons to 4.5 million tons. For spring field works, Russian farmers need to purchase 1.4 million tons of mineral fertilizers.

“We hope that we will manage to agree with fertilizer producers on prices and that in 2021 their application will reach 55 kg per hectare of arable land,” added Dmitry Patrushev.