2018-11-30T17:29:00+02:00 Economy 2024-09-15T11:06:09+03:00

Ukrainian news

Antidumping Duties On Fertilizers From Russia Retained At 2017 Level - Group DF

Antidumping Duties On Fertilizers From Russia Retained At 2017 Level - Group DF

A diversified international group, Group DF, states that the antidumping duties on fertilizers from the Russian Federation are retained at the level set in 2017.

Press service of Group DF has said this in a statement, Ukrainian News Agency reports.

"The ruling of the Appeal Administrative Court dated November 27, 2018, did not affect in any way the current antidumping duties on urea and UAN originating from Russia. The antidumping duties on nitrogen fertilizers from Russia are retained at the previous level of 31.84% set in 2017," Ihor Holchenko, the director of Group DF, said.

According to the report, at court, Group DF tried to raise said duties, which could be effective in 2017.

"However, at present, we see no expediency in continuation of the process," the statement says.

It is said that possible increase in the duties would trigger unnecessary rush and speculations in pricing during the spring sowing campaign, while the size of even increased antidumping duties the company counted on would not deliver any effect on termination of the dumping import from Russia against the background of the latest increase in the gas price to almost USD 500 per thousand cubic meters.

Therefore, the company voluntarily refused to continue the proceedings and called its appeal back and expects such a step to stabilize the price for fertilizers in the market.

"At the same time, we do regret that some agricultural associations that front for the interests of Russian fertilizer producers consider our actions as their own victory. In response to unfounded and evidence-free accusations as to the fertilizer prices, we may note that over the last year, the gas price has risen by over USD 200, while the price of fertilizers has risen by only USD 19," the statement says.

As at November 30, 2018, enterprises keep over 400,000 tons of fertilizers ready for shipment.

By the start of the spring sowing campaign of 2019, the company plans to produce extra 1.5 million tons, which, according to the company, will be enough to satisfy needs of domestic market in fertilizers.

If the consumers' demand grows, the enterprises of the company will be ready to boost the production to 2 million tons.

As Ukrainian News Agency earlier reported, on February 13, 2017, the Interagency Commission for International Trade suspended antidumping duties of 4.19%-31.84% on importation of urea and UAN from the Russian Federation.

On December 27, 2017, the Commission imposed antidumping duties of 4.19%-31.84% on importation of urea and UAN from Russia for the period from March 2017 to March 2022.

On June 23, 2015, the Commission launched an antidumping investigation into importation of some nitrogen fertilizers from Russia.

The investigation has twice been extended until September 23 and then until December 23.

In August, the Ukrainian Chemists Union requested that Prime Minister of Ukraine Volodymyr Groysman and the Economic Development and Trade Ministry speed up imposition of duties on importation of urea and UAN from Russia, and raise then effective duties on importation of ammonium nitrate from Russia.

The OSTCHEM holding, which unites nitrogen chemical enterprises of Group DF, noted high risks for Ukraine to become fully-dependable on Russian fertilizer suppliers in absence of duties on importation of urea and UAN from Russia.

In July 2014, Ukraine raised antidumping duties on import of ammonium nitrate from Russia from 9.76-11.91% to 20.51-36.03%.

The Commission decided to set the antidumping duties for Dorogobuzh (Russia) at 20.51% (earlier 9.76%) for EuroChem (Moscow, Russia) at 36.03% (0%), and for other suppliers at 36.03% (11.91%).

Group DF is a diversified international group working in 11 countries of Europe and Asia.

The group is mainly engaged in nitrogen, titanium and gas businesses.