All mineral fertilisers, apart from those coming from Russia and Belarus, should continue to be temporarily exempt from import duties in order to stabilise prices, MEPs have said.
The European Parliament Agriculture Committee yesterday (Tuesday, January 31) discussed a draft text outlining the parliament’s response to an EU Commission communication on fertiliser.
In November, the commission published a communication document outlining how it plans to tackle rising fertiliser costs.
It said that high gas prices, the war in Ukraine and the dependence on a limited number of suppliers, including Russia, has jeopardised the availability and affordability of fertilisers and put food security at risk.
The communication suggested that public authorities could purchase fertilisers and then offer them at lower prices to farmers.
Funds generated from capping the profits of electricity companies could also be used for national support schemes.
The commission is to examine the possibility of using the EU agricultural reserve fund, worth €450 million, to help farmers impacted by high input costs.
Fertilisers
Members of the EU Parliament Agriculture Committee said that Russia has abused its dominance in gas supplies and used fertilisers as a political weapon.
They warned that further high-level use of these fertilisers in the EU risks fueling the Russian war effort and supporting other autocratic regimes.
However, the MEPs believe that the EU’s dependence on Russian and Belarussian fertilisers should not be replaced by other imported fertilisers.
They added that the move to a low-carbon European fertiliser industry should not be put at risk.
The MEPs said that all mineral fertilisers, apart from those coming from Russia and Belarus, should continue to be temporarily exempt from import duties in order to stabilise prices.
The committee has urged the commission to develop a long-term EU fertiliser strategy and to present a sustainable soil nutrient strategy by June 2023.
MEPs called on the commission and member states to support farmers until the market stabilises and alternatives to mineral fertilisers become available.
They said that the consecutive reductions in the Common Agricultural Policy (CAP) budget should be compensated in the mid-term review of the EU budget.
The MEPs said the EU should also pursue other ways to fund agricultural activities beyond the CAP.
They also asked that organic alternatives with the potential to substitute chemical fertilisers without resulting in additional emissions, be enabled above the threshold in the Nitrate Vulnerable Zones by the Nitrates Directive.
Eco-schemes under the new CAP should also be used to promote organic fertiliser, MEPs added.
Prices
Irish Fine Gael MEP Colm Markey proposed around 30 amendments to the draft document, including calling for the CAP budget to be increased.
The Midlands North-West MEP also said that an EU market observatory should be established to increase awareness of fertiliser supply and address issues surrounding price speculation.
Markey told the committee that the EU response to soaring fertiliser prices does not go far enough and does not address the crisis in any meaningful way.
“Since the start of 2022, fertiliser prices have skyrocketed with increases up to 150%.
“Because of super inflation, farmers are buying and using lower quantities of fertilisers, therefore threatening global food security and driving up food prices.
“I have already called for the ending of anti-dumping measures in order to open up the market to non-EU producers.
“The commission should also abolish all tariffs and duties on non-EU fertiliser imports to restore competitiveness to the fertiliser market within the Single Market and therefore increase availability and allow affordability for fertiliser on Irish family farms,” Markey said.
“With our location on the edge of the continent, the pressures of this crisis are felt most here.
“In order to protect farm incomes in the interest of food security, the EU must pull the finger out.’’
The draft text was subject to numerous amendments by committee members and was approved by 38 votes to 7, with two abstentions.
Markey voted in favour of the draft resolution which will be voted on in an upcoming plenary session, which will probably take place this month.