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Home / Markets

PhosAgro has fixed fertilizer prices

 avatar Dmitry Savinsky
July 26, 2021, 6:00 pm
July 26, 2021, 6:00 pm
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PhosAgro has fixed fertilizer prices
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PhosAgro announced that they have fixed mineral fertilizer prices of its own production until the end of the autumn field works — by October 31 this year.

As part of the decree of the President of Russia, Vladimir Putin, dated September 24, 2015, to restrain the growth of prices for mineral fertilizers, the Russian Government has developed and implemented mechanisms to ensure the availability of mineral fertilizers for farmers, which are effectively used by the producers.

In particular, the principles of economic analysis of pricing practices developed by the Federal Antimonopoly Service are being successfully applied. Mineral fertilizer producers are implementing a set of measures to restrain prices amid sharp changes in the macroeconomic situation.

In some large agricultural countries, fertilizer prices this year exceeded the world average price, while it’s still lower for Russian farmers than for their foreign competitors. According to the Federal State Statistics Service, this difference, depending on the type of product, reaches 20-25%.

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Currently, the Ministry of Industry and Trade, the Ministry of Agriculture, the Ministry of Economic Development of Russia, and the Federal Antimonopoly Service have developed a methodology for determining the price availability of fertilizers for Russian farmers. The new methodology is planned to be introduced already in 2021.

Additionally to the already implemented measures, PhosAgro made a preventive decision to support Russian farmers during the active phase of autumn field works by freezing the price for all types of its own mineral fertilizers no higher than the July levels.

PhosAgro CEO Andrey Guryev noted that the company’s decision should have a positive effect on the Russian agro-industrial complex as a whole. “Realizing that the change in the macroeconomic situation caused by the consequences of the ongoing pandemic and drought is another risk for farmers, we’ve decided to support our consumers by creating additional opportunities for increasing the volume of purchases of highly efficient mineral fertilizers, stimulating fieldwork and strengthening inter-industry connections. We are confident that this decision will be supported by the Russian Government.”

Earlier, the Ministry of Industry and Trade of Russia appealed to producers of mineral fertilizers and industry associations to achieve agreements aimed at implementing a strategic plan to increase the purchase of mineral fertilizers by the regions until 2025. PhosAgro is ready to provide Russian consumers with modern, efficient, high-quality mineral fertilizers in volumes necessary to ensure the agronomic efficiency of crops and following the demand stated by the Russian Ministry of Agriculture.

mineral fertilizers
PhosAgro

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