OCP North America, New York City, a subsidiary of Moroccan phosphate producer OCP SA, on Dec. 7 announced the launch of a new website – www.StandWithUSFarmers.com, to promote awareness and action in response recent duties imposed by the U.S. Department of Commerce on imports of phosphate fertilizers from Morocco and Russia. DOC imposed a preliminary duty of 23.46 percent on U.S. imports from OCP and preliminary duties of 20 to 72.5 percent on certain Russian imports, effective Dec. 1.

“We were encouraged to see Commerce reject Mosaic’s extravagant claims for even higher duties” said OCP North America CEO Kerry McNamara, “but we were disappointed by the level of preliminary duty imposed on Moroccan products. We continue to believe that it will be clear, as the case proceeds, that there is no legal basis for measures that deprive U.S. farmers of access to the largest and most reliable global provider of these vital plant nutrients, the OCP Group.”

The California Department of Food and Agriculture (CDFA) announced Dec. 4 that a Stop Use notice and statewide quarantine have been issued for the organic fertilizer product Agro Gold WS to all organic operations registered in California. CDFA lab analysis of the product detected the presence of Diquat and Glyphosate, which are substances prohibited by the U.S. Department of Agriculture (USDA) National Organic Program for use in organic production. Continued use of this product in organic production may jeopardize an operation’s organic status.
  
Agro Gold WS is manufactured by Florida-based Agro Research International LLC. The company had not responded to inquiries at press time.

India’s MMTC has confirmed it will take 1.275 million mt from 10 companies. Prices are $286.50/mt CFR for East Coast delivery and $284.70/mt CFR for West Coast unloadings. The buyer and PIC also agreed on a price of $282/mt FOB. Sources said this purchase represents the bare minimum India will need to start the next season, leaving open the possibility of a tender call in February. See the Dec. 4, 2020 issue of Green Markets for more details.

Dmitry Mazepin’s Uralchem increased its stake in Uralkali from 46.4 percent to 81.5 percent after buying out a portion of a partners’ share, according to Bloomberg, citing a regulatory filing. Rinsoco Trading, owned by Dmitry Lobyak, cut its stake in Uralkali from 53.6 percent to 18.5 percent, the filing shows. The deal was funded with Sberbank loan, according to a statement by Uralchem.

Mitsubishi Heavy Industries Ltd. (MHI), Tokyo, recently reported that it has completed a capital investment in Monolith Materials Inc, Lincoln, Neb., which is planning a 275,000 mt/y carbon-free ammonia plant in Hallam, Neb. Monolith technology converts natural gas into carbon black and co-product hydrogen, with the latter expected to be used for ammonia production (GM Oct. 9, p. 1).

In other news, MHI reports that it plans an investment in H2U Investments, which is pursuing green hydrogen and ammonia development in Australia.

Long-time industry veteran G. David Delaney was named the CEO of Itafos, Toronto, effective Nov. 30. He succeeds Dr. Mhamed Ibnabdeljalil who served as CEO since May 16, 2019.

Delaney was already on the Itafos Board of Directors and will retain that seat. He has over 30 years in leadership roles within the fertilizer and agricultural sectors, including a long stint at Potash Corp. of Saskatchewan Inc. (now Nutrien). He was most recently with Farmer’s Business Network Inc. and Paine & Partners LLC.

Tampa ammonia moved to $255/mt CFR for December, up $20/mt from November’s $235/mt CFR.

The OCP Group responded to the decision released today by the U.S. Department of Commerce to impose preliminary countervailing duties of 23.46 percent on U.S. imports of Moroccan phosphate fertilizers. OCP said the petition filed by The Mosaic Co. was “misguided.”

“We cooperated fully in this first phase and will continue to make our case in the second phase of the process, due to be completed by March 2021,” said OCP. “We remain confident that by the end of this process it will be clear there are no grounds for imposing countervailing duties on Moroccan fertilizer imports.” 

The Mosaic Co. shares jumped as much as 11.4 percent to the highest intraday since September 2019 after the Commerce Department announced its affirmative preliminary determinations in the countervailing duty (CVD) investigations of imports of phosphate fertilizers from Morocco and Russia, according to Bloomberg. In the meantime, sources in the NOLA market, said players began pulling offers off the table in order to assess the news.

Mosaic said beginning in a matter of days, the rates from Commerce’s preliminary determinations will be used to impose preliminary cash deposits on Moroccan and Russian phosphate fertilizer imports into the United States.

Preliminary subsidy rates were 23.46 percent of OCP SA/Morocco; and 20.94-72.5 percent for Russian producers, including 72.5 percent for EuroChem’s Industrial Group Phosphorite LLC, 20.94 percent for PhosAgro’s Joint Stock Company Apatit and 32.92 percent for all other Russian producers/exporters.

The U.S. Department of Commerce on Nov. 24 announced its affirmative preliminary determinations in the countervailing duty (CVD) investigations of imports of phosphate fertilizers from Morocco and Russia. (The first version of this alert identified the agency as the U.S. International Trade Commission. The ITC made its preliminary determination on Aug. 10.)

Preliminary subsidy rates were 23.46 percent of OCP SA/Morocco; and 20.94-72.5 percent for Russian producers, including 72.5 percent for Industrial Group Phosphorite LLC, 20.94 percent for Joint Stock Company Apatit and 32.92 percent for all other Russian producers/exporters.