Uralchem plans to expand its shipments to African nations from 1 million to 5 million metric tons annually, Dmitry Konyaev has said

Uralchem, one of Russia's largest fertilizer producers, has announced plans to dramatically expand exports to Africa, with a target of 5 million metric tons per year by 2030.

The company's CEO, Dmitry Konyaev, unveiled the goal at the 'Business dialogue Russia-Africa' panel discussion at the 28th St. Petersburg International Economic Forum (SPIEF) on Thursday.

Konyaev said the goal of increasing annual shipments from 1 million metric tons at the end of 2024 to 5 million by the end of the decade would represent "real results and real achievements" for both Uralchem and Africa's agricultural sector. He added that by the end of 2024, Africa had imported only 10 million tons of fertilizers, which he described as disproportionately low for the continent.

According to the Uralchem CEO, the low distribution of fertilizers in Africa is a result of internal structural barriers, including poor logistics infrastructure and complicated financial settlement mechanisms.

"Often, an African farmer pays more than a European [farmer] for the same fertilizers. It's absolutely absurd," Konyaev stated.

To address these challenges, Uralchem has decided to pursue local distribution by creating joint ventures with African states. The company has already launched operations in South Africa and Cote d'Ivoire, according to Konyaev.

Mikhail Rybnikov, the CEO of PhosAgro, another major Russian fertilizer company, said the key buyers of the company's products now include South Africa, Mozambique, Ethiopia, Cameroon, and Morocco.

"Our company makes an important contribution to strengthening food security and food sovereignty in African countries," Rybnikov said.

Since late 2022, Uralchem has supplied more than 134,000 tons of fertilizers to African nations free of charge. Over 111,000 tons have been shipped from European ports and warehouses to Malawi, Nigeria, Kenya, and Zimbabwe in collaboration with the UN World Food Program.

(RT.com)