Brazil and Bolivia sign memorandum to boost fertilizer production

Brazil and Bolivia signed a memorandum of understanding on Tuesday (30/1) at the Itamaraty Palace, establishing the guidelines for bilateral cooperation on increasing fertilizer production. The agreement includes, among other measures, conducting studies for the construction of nitrogen fertilizer plants in both nations.

Bolivia possesses substantial reserves of natural gas, crucial for nitrogen production, and minerals used in other types of nutrients. However, the country lacks the expertise and resources to develop these production chains. The memorandum addresses these issues by outlining measures such as technical cooperation, an industrial development plan, and an investment attraction program.

“We celebrate an important memorandum of understanding on fertilizers with Bolivia, the newest member of Mercosur. We will reduce our external dependency on essential inputs for our agriculture and strengthen our regional chains, enhancing the competitiveness of our agribusiness,” stated Vice President Geraldo Alckmin.

Key points of the agreement include strategic cooperation for technical, economic, and environmental feasibility studies to attract investments in projects with development potential in Três Lagoas (MS) and Cuiabá (MT), Brazil; and Porto Quijarro (Santa Cruz), Uyuni (Potosí), Copaisa (Oruro), and Santivañez (Cochabamba), Bolivia.

“Bolivia plays an important role as a supplier of natural gas to the Brazilian market, and we want to expand it with new projects in energy integration, as well as in the areas of fertilizers and biofuels,” stated the Minister of Foreign Affairs, Mauro Vieira, the host of the meeting.

The agreement also includes actions for geological mapping and mineral research, along with a set of measures to expand and facilitate trade between the two countries in the field of fertilizers and plant nutrition inputs. The implementation of the memorandum will be overseen by a joint working group composed of technical representatives tasked with developing a strategic cooperation plan.

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