Yara International ASA this week called on the European Union (EU) and national governments to act “urgently and decisively” to ensure Europe reduces, and not strengthens, its dependency on Russia for food and fertilizers.
The Norwegian major – joining the European Parliament and other stakeholders – is calling for an EU strategy for fertilizers.
In a statement on Oct. 6, Yara proposed that the EU’s package of solutions for the European fertilizer industry should include measures to:
- Firstly, secure continued access to natural gas. Natural gas is key for producing fertilizers and is also crucial for lowering the environmental impact of other sectors, the company said.
- Secondly, accelerate the use of renewable energy. The transition to more sustainable and resilient fertilizer production by using renewable energy and recovered nutrients requires large-scale investments, said Yara. It believes innovation and investment support should be earmarked for the fertilizer sector to meet the three objectives of accelerating decarbonization; reducing the industry’s reliance on fossil fuels; and reducing its dependency on Russia.
- Thirdly, reinforce Europe’s strategic autonomy in fertilizers. Yara argues that the European authorities should prioritize the supply of raw materials for European fertilizer production to avoid new dependencies rather than lowering barriers or imports of finished fertilizers from Russia or elsewhere.
The company believes the European Commission should also monitor and control the volumes of fertilizer products coming into Europe from Russia and Belarus, “especially as Russian fertilizers have roughly twice the greenhouse emissions of fertilizers produced in Europe,” it said.
“A strong European fertilizer industry is crucial not only for ensuring food security in Europe and globally, but also for ensuring that Europe can continue to take the lead in the green transition,” said Yara President and CEO Svein Tore Holsether.
“It is imperative that the war on Ukraine does not destroy the work towards a net-zero future,” he said.
Instead of weakening the position of the European fertilizer industry, which is a frontrunner in decarbonization, Holsether argues “massive, coordinated efforts” are needed to reach zero emissions, while at the same time reducing Europe’s dependencies on Russia.
Curtailed production in Europe reduces worldwide availability of fertilizers and has direct, negative consequences for the global food system and global food security, said the CEO.
The Norwegian major reminded the essential plant nutrients provided by mineral fertilizers are estimated to produce 50% of the food grown today.