NP fertilizers market in Russia

Earlier Report Observations

From 2018 to 2021, the Russian NP fertilizers market experienced steady growth, supported by state subsidies for agricultural producers and the expansion of production capacities at major companies like Uralchem, PhosAgro, and Acron. The COVID-19 pandemic in 2020 did not disrupt the upward trend as the industry maintained supply chains. In 2021, the enactment of the organic products law began shaping a new segment for organic fertilizers, while rising domestic demand for mineral fertilizers continued to drive the market.

The market volume jumped sharply in 2022, adding over 2 000 thousand tons to reach 5 825 thousand tons. This surge was primarily driven by the introduction of export quotas and a temporary ban on ammonium nitrate exports from December 2021, which retained more products for the domestic market. Concurrently, production costs rose by 25% due to increased tariffs for gas, electricity, and rail transport, while sanctions and geopolitical tensions led to a reorientation of exports to Asia and friendly countries.

After a decline to 5 358 thousand tons in 2023, coinciding with a drop in production despite the opening of a new apatite-nepheline ore mining facility in the Murmansk region, the market rebounded to 6 033 thousand tons in 2024. The recovery was supported by the extension of export quotas until May 2024 and record levels of investment in fixed assets by producers, which stimulated both output and domestic demand.

Production NP fertilizers in Russia

In kind, 2018-2021, K t

Following two consecutive years of growth, Russia's production of NP fertilizers experienced a decline. In 2021, production reached 4 793 thousand tonnes, marking a 6.8% decrease compared to the previous year. Over the 2018-2021 period, production increased by 2.5%, with a compound annual growth rate of 0.8%. The highest production level was achieved in 2020 at 5 144 thousand tonnes, while the most significant annual increase occurred in 2019 at 6.0%.

Annual dynamics of production in Russia in kind, 2018-2021, K t

Exports NP fertilizers from Russia

Exports in kind, K t

After two years of expansion, Russia's exports of NP fertilizers contracted. In 2021, exports totaled 1 102 thousand tonnes, representing a substantial 23.1% decline from the previous year. Between 2018 and 2021, exports decreased by 17%, with a compound annual decline rate of 6.0%. The peak export volume was recorded in 2020 at 1 432 thousand tonnes, while the largest annual increase occurred in 2019 at 7.0%.

Annual dynamics of product's exports from Russia in kind, 2018-2021, K t

During the 2018-2021 period, Brazil, Estonia, and Mexico emerged as notable but not dominant buyers of Russian NP fertilizers. Brazil accounted for 21.6% of export volumes, Estonia for 11.9%, and Mexico for 10.4%. Collectively, these three countries represented 43.9% of total export volumes, indicating a relatively diversified export structure.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Russia in kind, 2018-2021

Exports in value, M $ US

In 2021, Russia's NP fertilizer exports in value terms reached 394.6 million US dollars, showing a significant 26.6% increase compared to 2020. Between 2018 and 2021, export values grew by 28.2%, corresponding to an annualized growth rate of 8.6%. The most notable decline occurred in 2020, when export values decreased by 6.7%.

Annual dynamics of product's exports from Russia in value, 2018-2021, M $ US

From 2018 to 2021, Brazil, Estonia, and Mexico were among the leading buyers of Russian NP fertilizers in value terms. Brazil accounted for 16.7% of export value, Estonia for 16.5%, and Mexico for 11.7%. Together, these three markets represented 44.9% of total export value, reflecting a broadly diversified partner base for Russian NP fertilizer exports.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Russia in value, 2018-2021

Imports NP fertilizers to Russia

Imports in kind, K t

Following two years of growth, Russia's imports of NP fertilizers declined. In 2021, import volumes reached 74 thousand tonnes, representing a 6.8% decrease year-over-year. Between 2018 and 2021, imports increased by 74.6%, with an annualized growth rate of 20.4%. The highest import volume was recorded in 2020 at 79 thousand tonnes, while the most substantial annual increase occurred in 2019 at 53.9%.

Annual dynamics of product's imports to Russia in kind, 2018-2021, K t

During the 2018-2021 period, Russia's NP fertilizer imports were heavily concentrated, with Kazakhstan accounting for 96.9% of total import volumes.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Russia in kind, 2018-2021

Imports in value, M $ US

Russia's NP fertilizer imports in value terms grew for the third consecutive year. In 2021, imports reached 32.5 million US dollars, representing a substantial 75.9% increase compared to the previous year. Between 2018 and 2021, import values increased by 141.8%, with an annualized growth rate of 34.2%.

Annual dynamics of product's imports to Russia in value, 2018-2021, M $ US

From 2018 to 2021, Russia's NP fertilizer imports in value terms were almost entirely concentrated in Kazakhstan, which accounted for 92.4% of total import value.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Russia in value, 2018-2021