Media reports increase in EU shipments of Russian fertilizer
Date
7/25/2024 5:41:19 AM
(MENAFN) In a notable development, European Union imports of Russian fertilizer have surged by a significant 70 percent to 1.9 million tons during the period from January to May this year compared to the same timeframe in 2023. This surge, reported by Vedomosti citing Eurostat data, underscores a robust increase in the bloc’s reliance on Russian agricultural inputs despite ongoing geopolitical tensions and economic pressures.
In monetary terms, the European Union's expenditures on Russian fertilizer during this period exceeded EUR649 million (USD703 million), marking a substantial 30 percent year-on-year rise. The report highlights that May alone witnessed a 5 percent increase in monetary value to EUR77.4 million (USD83.8 million) and a 17 percent rise in volume to 238,400 tons compared to the previous year. The growth is primarily attributed to heightened purchases of potassic manure and multiple-nutrient fertilizers, reflecting Europe’s continued demand for essential agricultural inputs.
Among specific categories, European Union imports of Russian nitrogen fertilizers saw a notable 39 percent increase in the first five months of this year, constituting 57 percent of the bloc’s total fertilizer purchases from Russia. Notably, Poland emerged as the largest buyer of Russian urea, significantly increasing imports by 25 percent to nearly 468,000 tons. Following Poland, France, Germany, and Italy also recorded considerable rises in their purchases by 12 percent , 11 percent , and 10 percent , respectively.
The surge in imports comes at a time when fertilizer production costs within the European Union escalated sharply in 2022 due to soaring natural gas prices. The shift in dynamics occurred after Russian energy giant Gazprom, historically a major gas supplier to the European Union, curtailed exports following Western sanctions and disruptions to the Nord Stream pipelines.
This uptick in fertilizer imports raises dual concerns about economic dependency and environmental impacts. Economically, heightened reliance on Russian fertilizers amidst geopolitical strains poses risks of supply disruptions and price volatility. Environmentally, increased use of fertilizers, which are vital for agriculture but can also contribute to environmental degradation if mismanaged, underscores the delicate balance between agricultural productivity and sustainability within the European Union.
As Europe navigates these challenges, the surge in Russian fertilizer imports serves as a reminder of the intricate interplay between geopolitical factors, economic policies, and environmental considerations shaping regional agricultural practices and food security strategies.
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