This year no reduction of cultivated areas under crops is expected in Ukraine. This means that the demand for fertilizers will be high despite the fact that the prices for them have increased several times along with the rise in price for natural gas.
This is reported by ProAgro Group with reference to Gazeta.ua.
According to Igor Yerokhin, the sales specialist of the fertilizer company LNZ, the farmers with the land bank up to 5 thousand hectares usually buy fertilizers just before the dates of their application to the soil. Therefore, they may face not only high fertilizer prices in the market, but also a situation where it will be difficult to buy.
“Because the contracts have already been signed and paid for many months in advance. And not only in Ukraine. But also in other countries where ammonium nitrate comes from – Uzbekistan, Kazakhstan, Turkey. It will not be that easy to go and buy it, now this will require some effort,” explained the expert.
This shortage, in turn, could provoke a new price hike. Therefore, not all agricultural producers will be able to provide themselves with the necessary amount of fertilizer at an affordable price, and this threatens to reduce the volume of fertilizer application during the sowing season, notes the publication.
