Uralchem and Uralkali have frozen fertilizer prices
Uralchem and Uralkali decided to freeze prices for the main groups of mineral fertilizers for Russian agricultural producers for the entire period of autumn fieldwork this season. This decision was made during the consultation with the Ministry of Industry and Trade of Russia.
Realizing the importance of its products for Russian agriculture during the autumn fieldwork, Uralchem decided to fix fertilizer prices at the level of May 2021.
“During five months of 2021, the price for Uralkali’s products increased by 15% with the increased volume of shipments to the domestic market. The companies decided to freeze prices for this type of product at the level of May 2021. This means that the total rise in potassium chloride prices for Russian farmers will be 15% in 2021. We undertake to provide agricultural producers in 2021 with a volume not less than in 2020. We will also supply the necessary volume of complex fertilizers following price recommendations of the Federal Antimonopoly Service,” Uralchem’s price-release says.
In 2021, 80% of the ammonium nitrate produced by Uralchem was supplied to the Russian market. Over the five months of this year, prices for this product for domestic farmers raised by 25%. The volume of shipments increased by 10% compared to the same period in 2020.
The company will freeze prices at the level of May 2021 till the end of autumn fieldwork and ensure supply volume equal or more to the level of 2020. This means that the total rise in ammonium nitrate prices for Russian farmers will not exceed 25-30% in 2021.
Uralchem and Uralkali at the beginning of the current season during the peak demand in the regions of presence already announced a social initiative to fix prices for mineral fertilizers and have implemented it in full.
In five months period of 2021, Uralchem and Uralkali supplied to the Russian market more than 1.1 million tons of various mineral fertilizers, which is almost 10% more than in the same period of 2020.
To provide additional support to domestic farmers, Uralchem is opening a hotline. It will be used for immediate information and communication with Russian agricultural producers, as well as coordination of volumes and prices of supplies during the autumn fieldwork.
“Understanding all social responsibility, Uralchem and Uralkali put forward a new initiative to freeze prices for the fall season and to ensure the supply of mineral fertilizers in a volume no less than in the same period last year,” said Dmitry Konyaev, Chairman of the Board of Directors of Uralchem.