TOPIC PAGE: Sustainability in the fertilizers industry
Updated on 15 June.
On this topic page, we gather the latest news, analysis and resources, to help you to keep track of developments in the area of sustainability in the fertilizers industry.
LATEST NEWS HEADLINES
US Mosaic and
BioConsortia expand collaboration to microbial
By Mark Milam 14-Jun-2022 HOUSTON (ICIS)–US fertilizer producer Mosaic and BioConsortia have entered into a new agreement to distribute BioConsortia’s new microbial biostimulant in Asia.
IMO deems Mediterranean Sea area for
sulphur oxides emissions
By Morgan Condon 14-Jun-22 14:47 LONDON (ICIS)–The International Maritime Organization (IMO) has designated the entire Mediterranean Sea as an area for emissions control, the UN agency announced on Tuesday.
Canada’s Soilgenic launches new
enhanced efficiency fertilizers technology for
By Erica Sesay 13-Jun-22 17:06 LONDON (ICIS)–Canada’s Soilgenic Technologies has announced the development of the second generation of its enhanced efficiency fertilizer (EEF) formulations for the retail market.
Austria’s Borealis aims to produce 1.8m
tonnes/year of circular products by
By Jonathan Lopez 10-Jun-22 09:25 MADRID (ICIS)–The company, which recently announced the divestment of its emissions-intensive fertilizers division, also said it aims to more than halve its Scope 1 and Scope 2 greenhouse gas (GHG) emissions to below 2m tonnes/year by 2030, down from the 5.1m tonnes of emissions it emitted in 2019.
European Parliament rejects proposed
carbon market reform
By Jonathan Lopez 09-Jun-22 10:15 MADRID (ICIS)–The EU’s proposed reform of the Emissions Trading System (ETS) failed to pass in the European Parliament (EP) on Wednesday, dealing a blow to the 27-country bloc’s ambitious emissions policy.
IFA ’22: southern
Africa looks to bio-fertilizer as cheaper,
By Erica Sesay 31-May-22 10:05 VIENNA (ICIS)–The southern African agriculture industry is looking more into improving bio-fertilizers efficiency, as high costs make chemical fertilizers less accessible to farmers, a producer said.
IFA ’22: Indian farmers will struggle
to embrace specialty fertilizers –
By Erica Sesay 31-May-22 12:48 VIENNA (ICIS)–Indian farmers will struggle to move on from traditional chemical fertilizers and embrace newer and more sustainable products, a producer said on the sidelines of the International Fertilizer Association (IFA) annual conference in Vienna.
Canadian Nutrien plans to build world’s
largest clean ammonia facility in
By Mark Milam 18-May-22 23:31 HOUSTON (ICIS)–Canadian fertilizer producer Nutrien announced it is evaluating Geismar, Louisiana as the site to build the world’s largest clean ammonia facility, which it estimates could achieve output of 1.2m tonnes/year.
Japan’s JGC Holdings awards green
ammonia plant contract to
By Jonathan Lopez 11-May-22 16:50 MADRID (ICIS)–KBR is to license its green ammonia technology and provide basic engineering to JGC Holdings’ new plant in Japan, the US engineering services firm said on Wednesday.
US ReMo Energy launches green ammonia
product to address fertilizer cost and climate
By Mark Milam 10-May-22 23:03 HOUSTON (ICIS)–US company ReMo Energy has announced the launch of its first commercial product, a renewable fertilizer which it says addresses the combined challenges of high fertilizer costs and climate change.
Norway’s Yara evaluates potential stock
listing of Yara Clean Ammonia unit on Oslo
By Nurluqman Suratman 04-May-2022 SINGAPORE (ICIS)–Yara is evaluating a potential initial public offering (IPO) of its Yara Clean Ammonia (YCA) business on the Oslo Stock Exchange, the Norwegian fertilizer major said on Wednesday.
Saskatchewan government extends 4R
Nutrient Stewardship agreement for three more
By Mark Milam 29-Apr-22 17:25 HOUSTON (ICIS)–The government of Saskatchewan announced it has re-signed a 2016 memorandum of co-operation (MOC) with Fertilizer Canada to continue their 4R Nutrient Stewardship efforts in the province for an additional three years.
Anuvia Plant Nutrients secures funding
to scale US production of sustainable
By Mark Milam 27-Apr-22 19:57 HOUSTON (ICIS)–Fertilizer manufacturer Anuvia Plant Nutrients has announced it raised $65.5m to increase production capacity at its US based manufacturing facility and expand commercialization of its bio-based fertilizers.
EU CARBON BORDER ADJUSTMENT MECHANISM (CBAM) EXPLAINED
What is it?
The risk of carbon leakage frustrates the EU’s efforts to meet climate objectives. It occurs when companies transfer production to countries that are less strict on emissions, or when EU products are replaced by more carbon-intensive imports.
This new mechanism would counteract this risk by putting a carbon price on imports of certain goods from outside of the EU.
How will it work?
EU importers will buy carbon certificates corresponding to the carbon price that would have been paid, had the goods been produced under the EU’s carbon pricing rules.
Conversely, once a non-EU producer can show that they have already paid a price for the carbon used in the production of the imported goods, the corresponding cost can be fully deducted for the EU importer.
This will help reduce the risk of carbon leakage by encouraging producers in non-EU countries to make their production processes greener.
A reporting system will apply from 2023 with the objective of facilitating a smooth roll out and to facilitate dialogue with non-EU countries. Importers will start paying a financial adjustment in 2026.
How is the fertilizer industry affected?
The fertilizer industry is one of the sectors to fall under the CBAM.
The more energy-intensive nitrogen fertilizers will be affected most in the sector by the mechanism.
DEFRA CONSULTATIONS EXPLAINED
The UK’s Department for Environment, Food & Rural Affairs (DEFRA) launched a consultation at the beginning of November 2020 on reducing ammonia emissions from urea fertilizers. The consultation ran until 26 January 2021.
It set out three options for tackling ammonia emissions:
- A total ban on solid urea fertilizers
- A requirement to stabilise solid urea fertilizers with the addition of a urease inhibitor.
- A requirement to restrict the spreading of solid urea fertilizers to between 15 January and 31 March of a given year.
Liquid urea is excluded from any new rules or restrictions.
DEFRA is currently analysing the feedback received.
In March 2022, DEFRA announced that it had delayed introducing restrictions on the use of urea by at least a year to support farmers with fertilizer availability and keep their costs down
Should DEFRA decide to restrict the use of urea in the future, growers would be left with just ammonium nitrate-based fertilizers.
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