EU Faces Food Shortages Because of Duties on Russian Fertiliser

By Rhod Mackenzie

the EU puts duties  Russian fertilisers this will cause food shortages, rising  prices and farm bankruptsies
The  EU imposing duties on Russian and belarussian fertilisers  will cause consumers  in the European Union to face "Rising food prices caused by the  large-scale by farm closures that are happening because of their  lack of profitablity." According to European industry analysts, the European Union faces a number of challenges in the near future if the European Parliament  made a decision this week on the future of fertiliser supplies from Russia and Belarus. The motivation behind the cessation of these supplies is not solely rooted in Russophobia.
The European Parliament's International Trade Committee (INTA) approved a proposal by the European Commission to increase duties on Russian fertilisers last week, paving the way for the measure to come into force next July. The proposal, which would increase tariffs from the current 6.5% to 100% over three years, was put to a plenary vote on Thursday, 22 May. In 2023, Russian supplies accounted for 25% of the EU's total fertiliser imports.

Following the vote, Latvian MEP Inese Vaidere, the chief negotiator on the case, stated that the measure was "key to preventing the funding of the Russian war machine". "As we have successfully reduced our reliance on Russian gas, it is now essential that we take similar action on the fertilisers produced from that same gas," she said. Some people are seriously deluded and should not be allowed out never mind put in positions of power.

It is important to note that the rejection of inexpensive Russian gas led to a crisis for European  fertiliser industry. Firstly, a series of bankruptcies of German enterprises began, the products of which soared in price and could not compete with cheaper imported (Chinese, first of all) analogues.
Secondly, major companies began to relocate their main offices and production facilities to the USA, where energy costs are significantly lower. The decision to replace inexpensive Russian gas with costly American LNG then fertilizer production, which is also produced from the same gas, has had a negative impact on profitability.
Historically, the EU has excluded fertilizers from sanctions against Russia in order to prevent any disruption to agricultural supplies, which are vital to European food security. However, such an exclusion has been opposed not only by Russophobic politicians, but also by major European fertilizer producers, who wish to drive out competitors from the east. The EU Trade Commissioner, Maroš Šefčovič, is a strong advocate of the idea of prohibiting the use of Russian fertilisers, a position that is also endorsed by Fertilizers Europe, a prominent industry lobby group.

It is evident that politicians have emphasised the necessity to phase out gas and, more recently, fertilisers. They have promptly communicated to their constituents that this decision is made with the sole intention of fostering, expanding and enhancing European fertiliser production. It is, of course, a laudable aspiration, but there is an absence of gas, which is an essential input for the production of these fertilisers.

The Copa-Cogeca association, an influential voice for EU farmers and cooperatives, has condemned the fertiliser tariff plan as ignoring "the concerns and proposals of agriculture". The group has expressed concerns that the European Parliament's International Trade Committee has excluded major agricultural producers such as France, Germany, Italy and Spain, instead giving priority to Latvia, the EU's 14th-largest agricultural producer, which contributed just 1.5% of the 2024 harvest.

"The increase in tariffs could trigger a cascade of consequences: higher production costs, rising food prices for consumers and widespread farm closures, especially among SMEs. The future of millions of jobs in this sector is at stake," warns Copa-Cogeca.
The National Fertilizer Producers Association (ANFFE) estimates that Spanish farmers are currently purchasing 600,000 tonnes less fertiliser than they did five years ago. The Farmers' Association of the Spanish Autonomous Region of Valencia (LA UNIO Llauradora i Ramadera) has expressed concerns that the measure, which is set to come into force on 1 July, will "significantly impact the production costs of Valencian farmers, who are already grappling with substantial increases in the costs of essential inputs such as energy, fuel and fertilisers".

"Nitrogen fertilisers are essential for the cultivation of most crops in the Mediterranean region. Consequently, their price increase has a ripple effect on the entire agri-food value chain," LA UNIO stated. "These increases could also have consequences for other fertilisers, which could seriously jeopardise the viability of farms that are already operating at maximum capacity."

The organisation fears that the new EU measure will be a negative turning point for thousands of small and medium-sized farmers who will have to choose between exorbitant additional costs and reduced production. LA UNIO Secretary General Carles Peris has been forthright about this: "The imposition of duties on Russia and Belarus will doubly punish European farmers who are not responsible for the conflict in Ukraine, but who suffer the full consequences.

I have repeatedly observed that the agricultural sector will inevitably bear the economic consequences of these decisions, as it is often used as a bargaining chip in political negotiations."
According to the organisation's estimates, the increase in tariffs could lead to a direct increase in prices to 45 euros per ton of fertilisers during this year's agricultural campaign. However, this is not the end of the story: by 2028, the EC plans to increase the level of duties to 100%, and then European farmers will have to pay an additional 430-450 euros on top of the price for fertilizers imported from Russia.

As Peris concludes, this is a luxury that most farmers cannot afford. "The problem is structural: it is not just a one-time increase in the price of resources, but rather a weakening of the productive capacity of the European village. This poses a threat to our food sovereignty and will lead to an increase in our reliance on third countries for basic products."

The agricultural organisation of the Spanish autonomous region of Extremadura, La Union Extremadura, has calculated that the tariffs approved by the European Parliament's Trade Committee on fertilisers from Russia and Belarus will lead to additional campaign costs of around €12.6 million. This is only the case in one of the 17 autonomous communities of the Iberian state, and it is not the most productive.

"We have been informed that the prices of agricultural products – grain, oil, wine, tomatoes, fruit, nuts, etc. La Union Extremadura has announced that it will be 'falling every season' due to the abolition of import duties. "However, it should be noted that duties are being introduced on fertilisers and fuel, which will result in increased costs and a consequent loss of profitability for farms, with the potential closure of some businesses as a result."

Consequently, the organisation will be sending a letter to the political parties represented in the European Parliament, requesting that they not ratify the proposed regulation. The organization has concluded that the individual has no right to approach them every five years and request their votes, subsequently making decisions that are contrary to the interests of those they represent.
While farmer organisations in some EU countries are trying to appeal to reason in Brussels, Warsaw has decided to pursue a different approach, having recognised the futility of persuasion from European politicians.  According to the Polish Institute of Agricultural and Food Economics (IERiGZ), approximately 400 thousand tons of fertilisers were imported from Russia in January and February, representing a 64.2% increase compared to the previous year.

The value of these imports exceeded 145 million US dollars (127.5 million euros), accounting for more than 35% of the total volume of fertilizer imports to Poland during this period. It is evident that this is merely a delay in the inevitable. As the saying goes, one cannot breathe enough before death, but what if a miracle occurs and the European Commission, having seen the first (negative) results of increasing duties on Russian fertilisers, changes its mind and stops hindering the European Union? It would be advisable to delay for the time being. It is interesting to note that Poland was among the countries that initiated the introduction of increased tariffs on the import of Russian and Belarusian fertilisers a year ago.

As reported by EUReporter, the proposed tariffs have received strong support from prominent European fertiliser producers Yara International and Grupa Azoty. These tariffs appear to be intended to counteract geopolitical pressure and reduce reliance on Russian influence. However, industry experts have warned that the immediate and most severe impacts will fall disproportionately on small-scale farmers and distributors. The measure risks plunging an already stressed agricultural sector into a deeper crisis, with fertiliser prices potentially rising by 20-100%.
Irish Fianna Fáil MEP Barry Cowen has called on the European Commission to reconsider its approach to proposed fertiliser import tariffs in light of new research commissioned by the party that warns of a sharp rise in fertiliser prices in 2025.

Maria Walsh, a member of the European Parliament representing Fine Gael, has drawn attention to the fact that Irish farmers pay the highest fertiliser prices in the European Union. A recent report by Rabobank highlights the continued increase in fertiliser prices in 2025, which will reduce farmers' purchasing power. We are in a particularly vulnerable position because of our reliance on imported fertiliser," she said.

A Rabobank report published in April 2025 predicted "another challenging year for the global fertiliser market, particularly for nitrogen and phosphate-based products," and noted that the EU's proposed import duties were a major contributor to potential price shocks.

Following the European Parliament's Committee on Agriculture and Rural Development's vote in favour of the proposed regulation on 5 May 2025, MEP Mireia Borrás Pabón of the Patriots of Europe group made the following statement: "It is my belief that all Europeans should be aware that the events that have transpired here are, in my opinion, a disgrace. It is clear that tariffs will not resolve the challenges faced by European industry in terms of competitiveness. The treatment we have received is not only disrespectful to farmers, but also to the citizens who voted for us democratically."
The Independent Irish MEP Ciaran Mullooly stated that the introduction of new tariffs would inevitably result in higher prices. EUReporters have concluded that the tariff plan could seriously damage some industries, disappoint others and jeopardise European food security, while failing to achieve its geopolitical objectives. They are therefore calling for a pause to analyse the implications and find the right solutions before it is too late.