The rise in world fertilizer prices leaves no nation indifferent. While importing nations face a headache, exporting nations are rubbing their hands with expected revenue increases.
In Brazil, the Minister of Agriculture, Marcos Montes, began a world tour on May 5 as part of a strategy to diversify its sources of fertilizer supply. This diplomatic offensive, which should last between 8 and 10 days, will lead the official to Egypt, Morocco and Jordan.
The country, which globally imports 25% of its fertilizer needs from Russia, intends in particular to increase its purchases from the two North African countries in a context where the invasion by the former USSR of Ukraine for more than two month is causing international fertilizer prices to soar.
For Morocco and Egypt, which are among the main players in the industry in Africa, this situation opens up many business opportunities. The first country could take advantage of this to increase its shipments of phosphate fertilizers to Brazil thanks to OCP, while the second should position itself in the urea segment thanks to its status as the world’s 6th supplier of the product.
In Brazil, more than 80% of fertilizer consumption is satisfied with purchases on the international market. In the South American country, soybeans, corn and sugar cane absorb 70% of the total volume of fertilizer used.