For 11 months of 2017, three mineral fertilizers plants of Ostchem (consolidating Group DF’s fertilizer business) – Azot (Cherkasy), Rivneazot and Severodonetsk Azot – produced 1.48 million tons of nitrogen fertilizers for the Ukrainian agro-industrial complex. Thanks to support from the Government, including the introduction of anti-dumping duties by the Ministry of Economic Development and Trade towards some Russian fertilizer producers, since June 2017, Ostchem has been able to start the plants and resume fertilizer production after a long period of inactivity.
In particular, production of ammonium nitrate amounted to 925.6 thousand tons, urea – 241.8 thousand tons, calcium ammonium nitrate – 150.9 thousand tons, urea ammonium mixture – 145 thousand tons , ammonia liquor – 14 thousand tons.
Currently, Ostchem plants continue to work in normal mode and have already begun preparations for the spring sowing campaign of 2018. Providing Ukrainian farmers is still number one priority for Ostchem enterprises.
According to the estimations of the Ostchem analytical department, Ostchem plants are ready to produce over 2.5 million tons of fertilizers by the spring sowing campaign of 2018, which should be enough to meet the needs of the Ukrainian agribusiness.
At the same time, Russian manufacturers find ways to bypass existing anti-dumping duties, and continue to massively import similar mineral fertilizers only under other customs codes. Therefore, the state should conduct an effective and consistent policy to protect Ukrainian producers of mineral fertilizers.
According to the “Institute for Soil Protection of Ukraine”, as of December 1, 2017 Ukrainian farmers are provided with fertilizers by 110%.
In May 2017, the Interdepartmental Commission for International Trade introduced anti-dumping duties of 31.84% for the import of urea and calcium ammonium nitrate, originating from the Russian Federation.