MOSCOW, March 18 Russia will set export tariffs
on certain mineral fertilisers and raise existing duties on
others in a move that could raise at least $300 million to buy
fertilisers for local farmers, the government said on Tuesday.
Nitrogen fertiliser exports will be subject to a tariff of
8.5 percent of the customs value and potassium fertilisers will
have a 5 percent tariff, the government said in a statement on
its Web site, www.government.ru.
Neither type of fertiliser is currently subject to duty.
The government also said it would raise the export tariff on
fertilisers containing nitrogen, phosphorus and potassium in any
combination of the three in packages not exceeding 10 kg (22 lb)
to 8.5 percent, from 5 percent currently.
The tariffs will become effective one month after the
official publication of an order setting them and will remain in
force until Apr. 30, 2009, the government said in the statement.
Normally an official publication in the government gazette
takes place within days of the Web site announcement.
Agriculture Minister Alexei Gordeyev has said 90 percent of
mineral fertilisers produced in Russia are exported and only 10
percent used domestically. Twenty years ago, 80 percent were
used domestically and only 20 percent exported.
In a separate statement, the Agriculture Ministry quoted
Gordeyev as saying the government intended to channel 7-10
billion roubles ($297.5-$425 million) it would receive from the
new tariffs to buy additional fertilisers for Russian farmers.
Russian potash miners Uralkali URKAq.L and Silvinit
SILV.RTS could incur extra costs as a result of the tariffs,
but analysts have said soaring world fertiliser prices would
allow them to absorb the impact of any government measures.
Shrinking world grain stocks, which have pushed world prices
to record highs, are giving farmers the incentive to use more
fertiliser. Prices have soared accordingly, with Uralkali
announcing significant increases at the end of last year.
(Reporting by Aleksandras Budrys, editing by Robin Paxton and