Brazil fertilizer imports to slow down in the second half of the year

Fertilizer imports, one of the primary concerns of the Brazilian producers since the start of the war in Ukraine on February 24, might slow down in the second half of 2022.

Over the last few years, Brazil has broken successive records in fertilizer imports. “In addition to investing in technology, breaking all those records has only been possible because planted areas have also been increasing in the country,” says Ferreira.

In 2022, up until June 20, the country had already imported 17.5 million tonnes of fertilizers compared to 16.4 million tonnes imported in the first half of 2021.

“The increase in imported volume is attributable to the anticipation of purchases and deliveries, as producers tried to avoid scarcity of these products,” explains Canal Rural’s content director.

However, the pace of imports should slow down. “Brazil has already imported 42% of the total volume imported last year. The disbursement of US$11.3 billion equals 74% of the entire amount paid for fertilizers in 2021. The average price per tonne went from US$ 360 in 2021 to US$ 650 in 2022. Fertilizers are more expensive.”

“The expectation is to import between 20 million and 21 million tons of fertilizers in the second half of this year. It is unlikely that we will see another record broken.”

See below the track record of Brazilian fertilizer imports from Russia from January 2021 to April 2022. The data below was provided by Datamar’s DataLiner platform.

Russian Fertilizer Imports to Brazil | January 2021 – Abril 2022 | WTMT

Source: DataLiner (click here to request a demo)

Reduced use

Fearing conflict and scarcity of supplies, many producers have reduced their usage of inputs in the field.

According to Giovani Ferreira, measures need to be carefully adopted. “Precision agriculture, the rational use of inputs, among other measures, need to be observed so as not to risk losing productivity.”

Source: Canal Rural

To read the full original article, please go to: https://www.canalrural.com.br/noticias/economia/importacao-brasileira-de-fertilizantes-deve-cair-no-segundo-semestre/

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