Drought in Russia: Grain region particularly affected
In Russia, the main region for grain cultivation has been experiencing dry conditions for weeks. This is likely to result in lower yields and poorer quality than previously expected.
The EU Trade Committee supports the European Commission's plans to increase tariffs on nitrogen fertilizers and other agricultural products from Russia and Belarus. The Parliament is expected to follow suit shortly.
The EU Trade Committee supports the European Commission in raising tariffs on additional agricultural products and nitrogen fertilizers from Russia and Belarus. The leading committee voted on Thursday (15.5.) with 29 in favor, 6 against, and 2 abstentions to approve the proposal presented by the Brussels authority in January.
Tariffs could be in effect from July.
The European Parliament is expected to approve the vote next Thursday (22.5.) at the so-called Mini-Plenary session in Brussels. Member states have already voted almost unanimously for the new customs package in March. If the parliamentarians approve, the Commission's timetable to impose tariffs as early as July could still be met.
Up to €430 tariff per ton of fertilizer.
The Brussels authority proposed to impose additional duties on nitrogen-containing fertilizers in addition to existing tariffs on cereals and oilseeds. Primarily aiming to significantly reduce the EU's dependence on the two third countries. The tariff rates for imported fertilizers from Russia and Belarus could be raised by up to €430 per ton after a transition period of three years. Once the law is passed, a gradual entry into the tariff regime is planned.
In addition to various nitrogen fertilizers, other agricultural products from Russia and Belarus are also targeted. According to Commission sources, these include mainly honey, various by-products of sugar production, nuts, and various animal fats.
COPA: "Not at the expense of farmers!"
The EU committees of farm unions (Copa) and rural cooperatives (Cogeca) are pushing strongly for special aid to agriculture to mitigate the impending rise in N-fertilizer prices. Without access to affordable fertilizers, EU farmers could face further loss of competitiveness.
At the same time, the umbrella organizations reaffirm their support in addressing geopolitical challenges. "European farmers should not be the ones to bear the collateral damage," they state.