Russia Introduced 7% Export Duty on Mineral Fertilizers Effective From September 2023
Russian Government introduced a new export duty of 7%. There is also a minimum rate, which depends on the type of fertilizer. The innovations will be in effect until December 31, 2024. The corresponding draft resolution was published on a federal portal.
According to the published document, the duty for all fertilizers is 7% but the minimum rate depends on the type of product. For nitrogen fertilizers it will be at least 1.1 thousand roubles ($11.4) per ton, for potassium – at least 1.8 thousand roubles ($18.65) per ton, for phosphorus – at least 2.1 thousand roubles ($21.76) per ton.
Recall that earlier the Ministry of Finance of Russia proposed introducing a single export rate of 8% from September 1, 2023. However, after the reaction of fertilizer manufacturers, it was reduced to 7%, and for two types of mineral fertilizers (ammonium dihydrogen phosphate and diammonium hydrogen phosphate) they made a zero rate.