Sales of phosphate-based fertilizers in 2Q 2021 amounted to 1.7 million tonnes. The 6.8% decline year-on-year was due to the high base in the previous period, when the decrease in fertilizer production in China and India enabled the Company not only to sell stocks carried over from 1Q but also to reduce its winter stocks. At the same time, the volume of fertilizer sales in 2Q 2021 has remained at a normal level for this period despite the sharp increase in prices, which was due to their excellent affordability for end users at a time of rapidly rising prices for basic agricultural crops.
The year-on-year decrease in sales of NPS fertilizers in 2Q 2021 was driven by a shift in market demand towards DAP/ MAP/NPK grades.
Sales of nitrogen-based fertilizers in 1H and 2Q 2021 increased by 8.0% and 3.3%, respectively, year-on-year to 1.4 million tonnes and 0.6 million tonnes. Sales rose for all grades of nitrogen-based fertilizers, driven by both high seasonal demand and the affordability of fertilizers for end users.
Market highlights
The price recovery trend continued in mineral fertilizer markets throughout 2Q 2021, which was driven by: ? ongoing favourable situation in markets for agricultural products, which has supported the affordability of
fertilizers; ? the development of seasonal demand in key fertilizer markets in Latin America and South Asia (India, Pakistan); ? unscheduled limitations on the production of ammonia and potassium chloride for technical reasons, which has helped
support high feedstock prices; ? a decrease in fertilizer exports from China; as a result, demand is outstripping supply, especially in the Asian
region.
The third quarter is forecast to see peak of seasonal demand for phosphate-based fertilizers in key international markets.
Contact us
PJSC PhosAgro
Andrey Serov, Head of the Investor Relations Department
+7 495 231 2747 ext. 2183
ir@phosagro.ru
Timur Belov, Press Officer
+7 495 231 2747 ext. 2652
pr@phosagro.ru
EM
Sam VanDerlip
vanderlip@em-comms.com
+44 207 002 7859
About Us
PhosAgro (www.phosagro.ru) is one of the world's leading vertically integrated phosphate-based fertilizer producers in terms of production volumes of phosphate-based fertilizers and high-grade phosphate rock with a P2O5 content of 39% and higher. PhosAgro's environmentally friendly fertilizers stand out for their high efficiency, and they do not lead to the contamination of soils with heavy metals.
The Company is the largest phosphate-based fertilizer producer in Europe (by total combined capacity for DAP/MAP/NP/ NPK/NPS), the largest producer of high-grade phosphate rock with a P2O5 content of 39%, a top-three producer of MAP/DAP globally, one of the leading producers of feed phosphates (MCP) in Europe, and the only producer in Russia, and Russia's only producer of nepheline concentrate (according to the RAFP).
PhosAgro's main products include phosphate rock, more than 50 grades of fertilizers, feed phosphates, ammonia, and sodium tripolyphosphate, which are used by customers in 102 countries spanning all of the world's inhabited continents. The Company's priority markets outside of Russia and the CIS are Latin America, Europe and Asia.
PhosAgro's shares are traded on the Moscow Exchange, and global depositary receipts (GDRs) for shares trade on the London Stock Exchange (under the ticker PHOR). Since 1 June 2016, the Company's GDRs have been included in the MSCI Russia and MSCI Emerging Markets indexes.
More information about PhosAgro can be found on the website: www.phosagro.ru. -----------------------------------------------------------------------------------------------------------------------
ISIN: US71922G2093
Category Code: TST
TIDM: PHOR
LEI Code: 25340053KRUNNYUWF472
OAM Categories: 2.2. Inside information
Sequence No.: 118932
EQS News ID: 1223164
End of Announcement EQS News Service
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July 30, 2021 12:00 ET (16:00 GMT)
