Groups Support Easing of Barriers to Russian Fertilizer

August 28, 2009 Bookmark and Share

Groups Support Easing of Barriers to Russian Fertilizer
August 28, 2009
NAWG joined on a letter with the Agricultural Retailers Association and others this week telling the Department of Commerce that reasonably-priced solid ammonium nitrate from Russia is necessary to meet current U.S. demand.
In the letter, the groups supported advancing the negotiation process for removing Cold War-era trade restrictions that remain in place against Russian fertilizer products despite the fact that many domestic manufacturers and distributors have ceased production and sales of ammonium nitrate for liability and safety reasons.
The groups said, in part:
“U.S. ammonium nitrate demand has fallen to the level of domestic production because of the large price discrepancy between domestic and imported ammonium nitrate. As a result, in periods of high ammonium nitrate demand in the U.S., American agricultural retailers, distributors and farmers must pay a higher price for the product…
“Since there are few ammonium nitrate production capacities outside the United States, it is important that additional supply options are available for American farmers. Given the changing dynamics in the U.S. marketplace, the current restrictions on imports of Russian ammonium nitrate fertilizer no longer make sense.”
Russia is one of the world’s largest producers of ammonium nitrate, a key fertilizer for many crops. NAWG and others have worked for a number of years to see restrictions against Russian fertilizer products eased, which would help stabilize or lower prices for producers.
Signatories to the letter included NAWG, the Agricultural Retailers Association and the Northwest Horticultural Council, with other supporting organizations sending similar letters under separate cover.

NAWG joined on a letter with the Agricultural Retailers Association and others this week telling the Department of Commerce that reasonably-priced solid ammonium nitrate from Russia is necessary to meet current U.S. demand.

In the letter, the groups supported advancing the negotiation process for removing Cold War-era trade restrictions that remain in place against Russian fertilizer products despite the fact that many domestic manufacturers and distributors have ceased production and sales of ammonium nitrate for liability and safety reasons.

The groups said, in part:

“U.S. ammonium nitrate demand has fallen to the level of domestic production because of the large price discrepancy between domestic and imported ammonium nitrate. As a result, in periods of high ammonium nitrate demand in the U.S., American agricultural retailers, distributors and farmers must pay a higher price for the product…

“Since there are few ammonium nitrate production capacities outside the United States, it is important that additional supply options are available for American farmers. Given the changing dynamics in the U.S. marketplace, the current restrictions on imports of Russian ammonium nitrate fertilizer no longer make sense.”

Russia is one of the world’s largest producers of ammonium nitrate, a key fertilizer for many crops. NAWG and others have worked for a number of years to see restrictions against Russian fertilizer products eased, which would help stabilize or lower prices for producers.

Signatories to the letter included NAWG, the Agricultural Retailers Association and the Northwest Horticultural Council, with other supporting organizations sending similar letters under separate cover. The letter is available at www.wheatworld.org/issues/othercorrespondence/