Russia considers limiting fertilizer sales despite lack of energy crisis and dormant fields

Russia’s decision to limit foreign sales of fertilizers and inputs for six months is just an opportunistic ride along the same lines as the attitude taken by China.

The Chinese are going through a severe energy crisis, under restrictions on coal production, and are promoting factory cuts. As a result, international prices have risen, increasing the cost of producers around the world against lower deliveries. But it is not a new problem, and Brazil has felt it before in the purchase of inputs for this grain harvest.

The Russians, on the other hand, do not have energy deficit problems, being based on natural gas and therefore oil.

Among the world’s largest suppliers of plant nutrition, they will take advantage of this opportunity to raise fertilizer prices and others.

The country is among the world’s largest oil producers, and, on the other hand, international external demand does not restrict domestic supply, even if this were the case.

The decision, announced on the 3rd by the Kremlin to impose quotas of 5.9 million tons, is even more speculative because Russia is in the cold autumn in Russia and close to the long winter freeze of the fields.

Nothing is planted until March.

So there were no concerns about fertilizer inflation for their producers anyway.

Source: Money Times

To read the full original article, visit the link:

https://www.moneytimes.com.br/sem-crise-energia-e-sem-plantar-no-frio-russia-esspecula-limitando-vendas-de-fertilizantes/

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