European Union suspends nitrogen fertilizer tariffs for one year
The Council of the European Union announced this Friday (22) the suspension, for a period of one year, of customs duties applied to the import of nitrogen fertilizers used in the bloc's agricultural production. The measure includes products such as urea and ammonia.
According to a statement from the European Commission, the suspension of tariffs could generate savings estimated at 60 million euros in import costs for farmers and the European Union's fertilizer industry.
According to the Council, the initiative also seeks to reduce the bloc's dependence on fertilizers from Russia and Belarus, in addition to expanding the diversification of international suppliers.
In an official statement, the Minister of Finance of the Republic of Cyprus, Makis Keravnos, stated that the decision aims to increase European farmers' access to fertilizers at more competitive prices and reinforce the resilience of global supply chains.
The tariff suspension will only apply to products that do not currently enter the European market with tariff exemption through preferential trade agreements. The measure will have a volume limit equivalent to imports carried out under most favored nation tariffs in 2024, plus 20% of imports originating from Russia and Belarus in the same period.
The Council also informed that the suspension will not be valid for products imported from Russia and Belarus. The exclusion comes amid sanctions and restrictions adopted by the European Union related to the war in Ukraine.
The new rule will come into force this Saturday (23) and will remain valid for 12 months. The European Commission must monitor the impacts of the measure on the fertilizer market and may propose its extension or amendment.
Data released by the European Union shows that, in 2024, the bloc imported 2 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.
Last Tuesday (19), the European Commission had already announced a new action plan to reduce the bloc's external dependence on fertilizers.
Source: CNN