With the invasion of Ukraine by Russia, the world’s two main producers of nitrogen fertilizers, the prices of inputs, already at their highest before the war, soared. French grain growers are now worried about their next harvest.
The consequences of the Ukrainian crisis are being felt on world food. The UN has already sounded the alarm about the rise in nitrogen fertilizer prices, in anticipation of the next agricultural campaign. ” What we paid 250 euros per ton two years ago, today it is displayed at 1250 euros says Cédric Benoist, a wheat farmer in central France.
Nitrogen has become cereal growers’ gold. This chemical element is the first plant growth factor. Cédric Benoist needs 50 tonnes of nitrogen fertilizer per year to produce his wheat. “ Russia has gas, oil, a fertilizer industry… So obviously, by cutting off the sourcing of Russian fertilizers, we will unbalance the market a little more, which was already quite tight last campaign. »
An alternative to Russian imports?
To synthesize nitrogen, you need natural gas. And if it is necessary to do without Russian exports, Cédric Benoist hopes that gas from other countries can be used to manufacture these essential fertilizers. “ Can’t we have an agreement with certain countries which have gas and which are in demand for food, such as Egypt or Algeria for example? asks the farmer in the face of the spectacular rise in prices. ” The concerns are more about the 2023 harvest, where we have prices that are not yet too high compared to the prices of inputs, which we will be forced to pay a high price “.
The explosion of invoices has an impact on the grain farmer’s cash flow. He asks the State not to restrict storage capacities, in order to be able to breathe a little without giving in to panic.
►Also read: France: an economic resilience plan to respond to the consequences of the war in Ukraine