MOSCOW, March 24 (Reuters) - Russia has imposed restrictions on the export of nitrogen fertilisers from March 21 to April 21 to ensure sufficient supply during the spring planting season, the
Russia stops ammonium nitrate exports for one month amid global supply crunch
Russia's Ammonium Nitrate Export Suspension and Its Global Impact
MOSCOW, March 24 (Reuters) - Russia, which controls up to 40% of the global trade in ammonium nitrate, said on Tuesday it will stop exports of the fertilizer for one month until April 21 to ensure sufficient supply during the spring planting season.
Russia, a major fertiliser exporter, lacks the capacity to boost production this year amid a global supply crunch caused by the closure of the Strait of Hormuz, through which 24% of global trade in ammonia, an ingredient of ammonium nitrate, passes.
Government Measures and Export Restrictions
The Agriculture Ministry said it had stopped all issued licenses for ammonium nitrate exports and will not issue new ones, with the exception of those pertaining to government contracts. Russia produces a quarter of the world's ammonium nitrate.
Prioritizing Domestic Needs
"In the context of growing export demand for nitrogen fertilizers, the suspension of their supply abroad will allow the needs of the domestic market to be prioritized during the spring fieldwork season," the ministry said.
Ammonium Nitrate in Agriculture and Trade
Usage During Planting Season
AMMONIUM NITRATE USED AT START OF PLANTING SEASON
Ammonium nitrate is extensively used in agriculture at the start of the planting season. Russia has had export caps in place since 2021, while producers have been asked by the government to prioritize supplies to the domestic market over exports.
Key Export Destinations
Russia exports ammonium nitrate to Brazil, India, Peru, Mongolia, Morocco, and Mozambique. It also exported a small quantity of ammonium nitrate to the U.S. in 2024.
Leading Producers
Eurochem, Acron and Uralchem are Russia's leading producers of ammonium nitrate.
Production Challenges and Security Concerns
Impact of Ukrainian Drone Strikes
Ukrainian drones in February hit the Dorogobuzh plant in Western Russia, Acron's leading production asset, which makes about 11% of Russia's ammonium nitrate. The plant is not expected to be fully operational before May.
Other Uses of Ammonium Nitrate
Ammonium nitrate is also used in the production of explosives.
(Reporting by Gleb Bryanski, Olga Popova and Anastasia Lyrchikova; Writing by Gleb Bryanski; Editing by Mark Trevelyan, Guy Faulconbridge and Jan Harvey)
