Russia is going to introduce an 8% duty on the export of fertilizers
Russian government is considering to implement an 8% duty on the export of mineral fertilizers. This decision is expected to come into effect on September 1, 2023. The introduction of an 8% rate on the export of fertilizers will help the Ministry of Finance collect 120 billion rubles (over $1.25 billion) from the industry. The Ministry of Finance hopes that exporters will pay the planned amounts in advance before the end of 2023.
As of today, fertilizer exporters pay a duty of 23.5% if the cost of fertilizer is more than $450 per ton. There was a problem at the beginning of this year. The cost of potash and nitrogen fertilizers, which account for 60% of industry exports, turned out to be less than $450. As a result, in the first half of the year, the Ministry of Finance managed to receive only 6 billion rubles (approximately $62.7 million).
It is expected that this draft government decree will be published in the near future. The Ministry of Finance does not give any comments.