The European Union is proceeding with an investigation into the explosively rising costs of fertilizers. The European agricultural umbrella group Copa-Cogeca welcomes the possible abolition of European import duties on liquid urea-ammonium nitrate (UAN) fertilizers.
The European lobby group stated that since the beginning of this year, the prices of nitrogen fertilizers have tripled. The price increase is linked to the rising global demand for fertilizers as well as higher prices for gas and sea freight. For several months, Copa-Cogeca has questioned the usefulness of the EU anti-dumping measures on UAN fertilizers.
In 2018, Fertilizers Europe filed a complaint against the dumping of urea-ammonium nitrate fertilizers, particularly by Russia, Trinidad and Tobago, and the United States. These countries supplied fertilizer below the cost price of European producers. The EU will now investigate whether this dumping is in fact as harmful to European fertilizer manufacturers.
In April of this year, Copa-Cogeca submitted a request to lift the import duties. Ireland has also proposed suspending the levy, at least temporarily. Last week, Ireland again raised the matter at the monthly ministers' meeting in Brussels. Previously, the EU had been unwilling to consider it.
The Directorate-General for Trade in Brussels has now decided to open an investigation into the actual impact of those anti-dumping duties.
Members of the European Parliament will have the opportunity next Tuesday during the regular AGRI Committee meeting to question the European Commission in a debate on anti-dumping measures for fertilizers.
On December 2, Energy ministers will meet in Brussels. They will discuss the high energy prices as well as plans to significantly reduce CO2 emissions over the next ten years. Many countries want more flexibility to deviate from these targets.