The Ukrainian Agri Council (UAC) has appealed to the government regarding the critical situation with the supply of nitrogen fertilizers ahead of the spring sowing campaign.

In its address to the Minister of Economy, Environment and Agriculture of Ukraine, Oleksii Sobolev, the Council notes that due to developments in the Middle East, global supply of mineral fertilizers has significantly decreased, which has already led to a sharp increase in prices.

“Currently, the available supply on the global fertilizer market is unable to meet demand. As a result, exchange prices for urea have already reached $730 per tonne and are expected to continue rising,” UAC emphasizes.

The situation is further complicated by a domestic shortage of a key fertilizer — ammonium nitrate, imports of which have been restricted.

“If the situation is not urgently addressed, the reduction in total agricultural crop yields due to nitrogen shortages could significantly exceed 20% and have long-term effects,” the statement says.

At the same time, UAC stresses that Ukraine has the capacity to quickly resume its own fertilizer production.

“According to market analysts, due to strikes on CHP plants and their temporary shutdowns, gas consumption has decreased, and reserves are 3 billion cubic meters higher than last year, making it possible to urgently resume the production of nitrogen fertilizers,” the association notes.

Given the situation, UAC calls on the government to take immediate measures to stabilize the mineral fertilizer market and ensure farmers have the necessary resources for the sowing campaign.

In particular, farmers are calling for:

• facilitating the prompt launch of the Odesa Port Plant’s production capacities for ammonia and urea,
• initiating the abolition of import duties on urea, ammonium sulfate, ammonium nitrate, and calcium ammonium nitrate.

UAC emphasizes that implementing these steps will help stabilize prices in the market and minimize risks to the upcoming harvest.