EU plans on implementing tariffs on Russian fertilizers
Date
1/31/2025 11:28:35 PM
(MENAFN) The European Union has announced plans to impose substantial tariffs on certain agricultural products and fertilizers from Russia and Belarus in an effort to reduce dependency on these imports, which it sees as a threat to food security, while also supporting local agriculture. This move follows a tariff increase on Russian grain last year and now targets the remaining 15% of agricultural imports from Russia that were previously exempt from duties.
Over a three-year transition period, tariffs on nitrogen-based fertilizers will rise to a "prohibitive" 100%, the European Commission stated. Additionally, tariffs on agricultural products from Russia and Belarus will increase by 50% and take effect immediately after approval from the European Parliament and the Council.
Currently, the tariff on fertilizers stands at 6.5%, which is considered low. In 2023, the EU imported 2.9 million tons of agricultural goods from Russia valued at €380 million ($395 million), with Russian fertilizers accounting for over 25% of the total imports by weight.
European fertilizer companies have advocated for tariffs of at least 30% on Russian and Belarusian fertilizers to help boost domestic production, which has been struggling due to high energy costs. The proposed tariffs aim to diversify supply sources and support EU-based fertilizer production.
The measures will not affect the transit of Russian goods to third countries and are not expected to harm global food security, according to the EU. These actions are part of a broader strategy to reduce Russia's export revenues amid its ongoing conflict in Ukraine. In response, Moscow has warned that European consumers will face higher prices due to the tariff increases.
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