Large agricultural companies deny acute shortage of nitrogen fertilizers on market
Large agricultural holdings polled by Interfax-Ukraine have said that they have enough nitrogen fertilizers for the spring sowing campaign at the level of 70-100% of their needs.
"Usually large agricultural companies buy fertilizers in advance. Everyone is trying to work in a way when in December they have everything for the spring sowing campaign. Multi-vector companies involved in logistics, storage and planting are trying to use funds every month to supply goods a week before they would need the resources," Deputy Director for Production at Nibulon Kostiantyn Khmelnytsky said.
He said that at present, the company bought and used 70% of mineral fertilizers they need.
"I do not see the way out of the situation. One can look for urea on the market, but who paid to Ostchem they would not repeatedly spend money to buy fertilizers. Some agricultural producers would not apply enough nitrogen fertilizers, which would result in the decline in the yield of winter crops. If Ostchem does not launch production, the same would be with spring crops," Khmelnytsky said.
Ukrlandfarming Director General Ihor Petrashko said that the situation with stoppage of Ostchem plants is sad.
"Many agricultural enterprises, including our companies, paid in advance for supply of fertilizers. It is clear that it is hard to compensate these volumes by imports. This is the loss of potential yield. Everything should apply on time," he told Interfax-Ukraine.
He said that Ukrlandfarming is trying to effectively use the resources they have.
Rostok-Holding covered its needs in nitrogen fertilizers by 70%. Soon the rest of the fertilizers will be shipped. The company said that the stoppage of Ostchem plants does not affect the sowing campaign in 2017.
HarvEast, Agrotrade and Mriya covered their needs in nitrogen fertilizers by 100%.
Market players and experts said that there is a possibility of buying Russian fertilizers.
Deputy Agrobusiness Director for Commerce at Kernel Mykola Miroshnychenko said that the situation on the nitrogen fertilizers market should be regulated by the state.
