L. Linkevičius: Lithuania speaks in favour of maintaining a level playing field for Lithuanian fertilizer companies

Created: 2018.08.03 / Updated: 2018.08.06 08:55

The Minister of Foreign Affairs of Lithuania Linas Linkevičius, together with the Ministers of Spain, Poland, Romania and Hungary, signed a joint letter to the European Trade Commissioner Cecilia Malmström, calling for an extension of anti-dumping duties imposed on imports of ammonium nitrate fertilizers from Russia.

The Ministers expressed their concern over Russia's long-term gas sector regulatory paradigm, which gives a competitive advantage for Russian companies, as compared to those of the EU. Currently, the EU applies measures that protect the EU producers from unfair competition with dual pricing in Russia. The EU fertilizer industry contributes to the productivity of European farmers and European food security, and employs around 80,000 people. Gas accounts for the bulk of fertilizer production costs.

In addition, Russia's gas policy is currently not in line with its commitments undertaken upon joining the World Trade Organization. The country has committed itself to raising the price of gas for indigenous consumers, as well as fertilizer producers, so that the price would include the costs, profit and investment.

The existing anti-dumping duties imposed on imports of ammonium nitrate fertilizers from Russia were extended for the last time in 2014 for a period of five years. The Commission should take a decision on the extension of these measures in August this year.

 

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