Russian government are not planning to control fertilizer prices

As the Deputy Minister of Industry and Trade of Russia Mikhail Ivanov reports, their Department doesn’t see the need to adopt a resolution on the regulation of mineral fertilizer prices for farmers in Russia.

“The Ministry of Agriculture of Russia previously sent a draft resolution on the conclusion of agreements between agricultural producers and producers of mineral fertilizers aimed at price control. We believe that measures taken by producers of mineral fertilizers to prevent the growth of prices in the domestic market are enough,” said Mikhail Ivanov.

Deputy Minister also reported that agricultural producers have already purchased 60% of the annual need for fertilizers — 2.6 million tons were acquired with an annual demand of 4.5 million tons.

According to the statement of Mikhail Ivanov, there is an agreement between the producers of mineral fertilizers and farmers aimed at price control. As follows from the document, the maximum increase in prices can’t exceed 5% month-over-month, and the domestic price for fertilizers is 20-30% lower than the global prices.

Source: TASS