The European Council has decided to suspend for one year customs tariffs on key nitrogen-based fertilisers used in agricultural production in the EU, including inputs such as urea and ammonia.


The measure aims to lower costs for EU farmers and the fertiliser industry, with the European Commission estimating savings of around €60 million in import duties. It is also intended to reduce the EU’s dependency on Russia and Belarus for fertiliser products and help build a more diversified trading network in this sector.


“Today’s decision gives European farmers better access to affordable, reliable fertiliser supplies – good news for the agriculture sector and EU consumers alike. At the same time, we are accelerating away from Russian and Belarusian products and building more resilient supply chains and partnerships globally,” the statement said.


In practical terms, the suspension will apply only to products not already imported into the EU duty-free from countries benefiting from preferential access under Most Favoured Nation (MFN) tariffs. To balance the interests of EU producers, the measure is limited to a quota of goods equal to the volume of MFN imports in 2024, plus 20% of volumes imported from Russia and Belarus in the same year.


The EU clarified that the suspension will not apply to products imported from Russia due to its “unprovoked and unjustified war of aggression against Ukraine.” Nor will it apply to goods imported from Belarus, citing its support for Russia and its disregard for international law, fundamental freedoms, and human rights.


The measure will enter into force the day after its publication in the EU’s Official Journal and will apply for one year. The Commission is expected to monitor the fertiliser market and, if necessary, propose an extension or modification of the suspension.


Fertilisers are considered essential for European farmers, who require stable and regular trade flows at competitive prices to ensure agricultural production and food security. Prices of these products have risen significantly since 2021, increasing food costs and placing additional pressure on agricultural output.


In 2024, the EU imported 2 million tons of ammonia and 5.9 million tons of urea, primarily used in nitrogen fertiliser production. In addition, the Union imported 6.7 million tonnes of nitrogen-based fertilisers and mixtures containing nitrogen.


The EU already sources a significant share of nitrogen-based fertilisers duty-free from countries with preferential access to the Union market. However, it continues to import large volumes from countries subject to the common customs tariff, where duties currently range between 5.5% and 6.5%.


By Vafa Guliyeva