Urea market in Russia

Earlier Report Observations

From 2018 to 2020, urea production in Russia increased from 8.2 million tons to 8.8 million tons, supported by major producers such as Ufaorgsintez and Tolyattiazot. The domestic market volume fluctuated, reaching 2.0 million tons in 2019 but then falling to 1.4 million tons in 2020 due to increased export shipments, partly linked to shifts in the global market including the launch of a new production complex in Egypt.

In December 2021, the introduction of export quotas for nitrogen fertilizers, including urea, restricted overseas shipments and boosted domestic availability, raising the market volume to 1.8 million tons. These quotas were extended in 2022, and together with indexed ceiling prices, they drove further market expansion to 2.6 million tons. Production continued to grow, reaching 10.9 million tons in 2023 despite import restrictions from the European Union and rising global prices.

By 2024, a strategic focus on exports to friendly countries and new EU sanctions contributed to higher export flows, which reduced the domestic market volume to 1.8 million tons even as production remained steady at around 10.9 million tons. Urea production is expected to reach 11.8 million tons in 2025, but additional EU restrictions on imports of Russian nitrogen fertilizers will take effect from July 2025, potentially affecting export patterns.

Production urea in Russia

In kind, 2018-2021, K t

Russia's urea production has increased for the third consecutive year. In 2021, Russia produced 8 994 K t of urea, marking a modest increase of 2.4% compared to the previous year. Between 2018 and 2021, production grew by 9.2%, which translates to an annualized growth rate of 3.0%.

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

Exports urea from Russia

Exports in kind, K t

After two years of growth, Russia's urea exports declined. In 2021, exports reached 7 006 K t, representing a decrease of 3.9% from 2020. The peak was recorded in 2020 at 7 292 K t, with the largest increase that year at 4.5%.

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

From 2018 to 2021, Brazil, Finland, and Estonia were the largest buyers of Russian urea, accounting for 21.1%, 13.9%, and 7.3% of exports in kind, respectively. Together, they made up 42.4% of total exports, with the remaining 57.6% distributed among numerous smaller partners.

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 urea exports in value terms reached 2 490 M $ US, showing a significant improvement of 64.2% compared to 2020. Over the period from 2018 to 2021, exports increased by 57.4%, with a compound annual growth rate of 16.3%. The lowest value was recorded in 2020 at 1 517 M $ US, which saw a decline of 7.7%.

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

An analysis of urea exports in value terms from 2018 to 2021 reveals a broad distribution across many markets. Brazil, Finland, and Estonia accounted for 21.6%, 13.1%, and 6.5% of exports in value, respectively, totaling 41.2% of total flows. The remaining 58.8% was spread across other partners.

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

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

Imports urea to Russia

Imports in kind, K t

Russia's urea imports have increased for the third consecutive year. In 2021, imports amounted to 7 K t, reflecting a year-over-year rise of 14.3%. From 2018 to 2021, imports grew by 18.1%, with a compound annual growth rate of 5.7%.

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

Between 2018 and 2021, Belarus, Germany, and Lithuania were the main sources for Russia's urea imports in kind, with shares of 39.2%, 20.1%, and 9.7%, respectively. Together, they accounted for 69.0% of total import flows.

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 urea imports in value terms have increased for the second consecutive year. In 2021, imports totaled 4 M $ US, marking an advance of 35.8% over the previous year. Between 2018 and 2021, imports rose by 41.3%, equating to an annualized growth rate of 12.2%. The minimum value was recorded in 2019 at 3 M $ US, which experienced a decline of 1.6%.

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

From 2018 to 2021, Germany, Belarus, and the United States formed the primary group of sources for Russia's urea imports in value terms, with shares of 37.5%, 17.5%, and 10.1%, respectively. Together, they accounted for 65.1% of total import flows.

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

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