Minimum call for Russian imports
BRUSSELS is recommending a minimum import price for Russian ammonium nitrate in 1995/96 of 102.9ecu/t – equivalent to £82.35/t delivered to a port.
After adding 5.6% import duty (reduced from 8% due to GATT), discharge costs, merchant margin and haulage, this still equates to about £100/t on-farm.
Imported AN is currently trading above these levels, so the impact of the new measure will be minimal (despite the claims of some merchants). "But it does stop the Russians putting the skids under the market if they suddenly find themselves with large surpluses to dispose of," said Barry Higgs, director general of the Fertiliser Manufacturers Association.
With imports still at a third of UK fertiliser useage, the market would stay "competitive".