Commission proposes to temporarily scrap tariffs on goods used to produce fertiliser

The Commission proposed last week to suspend tariffs on inputs used for the production of nitrogen fertilisers until the end of 2024. The objective of this proposal is to help alleviate costs for EU fertiliser producers and EU farmers.

The EU market for certain nitrogen fertiliser inputs depends significantly on imports from third countries, with Russia being the second largest supplier. In 2021, the EU imported 2.9 million tonnes of ammonia and 4.7 million tonnes of urea for the production of nitrogen fertilisers. Prices for those products increased in the course of 2021 and have further risen during 2022 after the military aggression of Russia against Ukraine. This has had a profound negative impact on the production of nitrogen-based fertilisers in the EU.

Russian trade in non-food raw materials

 

In addition to lowering costs for EU producers and farmers, the proposal will help increase the stability and diversification of supply by fostering imports from a wider range of third countries, while excluding Russia and Belarus from the suspension of tariffs.

The proposal will now be discussed by Member States in the Council in view of its adoption.

More information: European Commission – Directorate-General for Trade