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# EuroChem’s plant in Lithuania has suspended production again

Publication Date: 15.03.2023, 16:00

Lifosa took a break.

The Lifosa plant (Lithuania), which produces phosphorus fertilizers and is part of EuroChem, has again suspended its work since February 22. This happened due to the difficulties associated with settlements with suppliers of raw materials.

“The reason is administrative obstacles beyond our control related to settlements with suppliers of raw materials. The verification of financial transfer procedures was delayed, our payment did not reach the supplier on time, and the delivery of raw materials to the plant was delayed,” said Indre Mažeikiene, spokeswoman at Lifosa. According to available information, the plant intended to resume work in early March.

Last year, the plant repeatedly suspended production due to increased prices for ammonia and natural gas. For the first time, the Lifosa plant suspended operations on April 10, 2022. This happened due to the fact that the EU imposed sanctions against the Russian businessman Andrey Melnichenko, who previously was the beneficiary of the enterprise.

Since May 24 last year, Lifosa has had a temporary administrator whose task is to ensure the operation of the plant without violating international sanctions. In early August, after a four-month downtime, the plant resumed operation, and in September it was suspended again due to a sharp rise in natural gas prices and lack of ammonia. In mid-October, the temporary administrator of the company approved the appointment of the former top manager of EuroChem, Andrey Savchuk, as the head of Lifosa.

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