Fertilizer prices have jumped globally after the almost complete closure of the Strait of Hormuz, through which about a third of the world’s fertilizer trade passes. Although the European Union does not depend directly on nitrogen fertilizers from the Middle East, such as urea, the prices of various types of fertilizers have risen as a result of countries searching for alternatives.
The Food and Agriculture Organization of the United Nations (FAO) warned last month that the continuation of this blockade may cause a real crisis in the food and agricultural sectors.
The Council explained in its statement that the suspension of duties will not include fertilizer imports from Russia or Belarus. The European Union imports large quantities of fertilizers without duties from countries that enjoy trade privileges, but a large amount of imports are still subject to duties ranging between 5.5% and 6.5%.
These measures will begin to be implemented within the next few days after their publication in the Official Journal of the European Union. The statement stated that in 2024, the Union imported about two million tons of ammonia and 5.9 million tons of urea, in addition to 6.7 million tons of nitrogen fertilizers and mixtures containing nitrogen.
The European Commission pointed out that the Middle East’s share of these imports is small, as the European Union’s direct dependence on the region is about 3% for ammonia and between 1% and 2% for nitrogen fertilizers.
