The fertilizer industry in the country has been in suspense due to the conflict between Ukraine and Russia, and due to the increase in prices of raw materials. Andres Pinero, President of Nitrofert, company specializing in plant nutrition, offered Portfolio a X-ray of the behavior of the fertilizer industry in the market.
(Modernization of agriculture, key axis for the presidential elections).
What is Nitrofert?
We are a supply chain in plant nutrition and fertilization in Colombia, understanding that the country is not a producer of any of the macronutrients that make up more than 95% of fertilization, such as nitrogen, phosphorus and potassium.
What presence do they have at the national level?
We have a plant in Santa Marta and others in Buga and Buenaventura. With that we give comprehensive care to the entire country.
(Facts that keep food prices near their record).
What international alliances do you have for the supply of products?
We have an alliance with Nitron from the United States, which is one of the largest on the continent.
What products matter?
We bring what makes up a third of the market in Colombia, which are the NPK and the granulated complex. We have brought to the country more than 350,000 tons of product for fertilizers and we are expecting to close this year with a turnover centered on 500,000 tons.
Have prices increased because of the war between Russia and Ukraine?
We are seeing pre-pandemic levels of three and four times the volumes of international commodity prices that directly affect us. The price of the three macronutrients have increased with the aggravating circumstance that Russia and Belarus they represent almost 50% of the international potassium transportation market.
Does the country have supplies?
We have managed to keep the supply in Colombia completely guaranteed for the next three or four months.
How is the current international situation mitigated?
Financing is a key motivator for the producer to remain focused on producing and maintaining their nutritional supply levels.
Do you do the financing or do you have an allied entity?
We seek to supply each of the links in the chain, in order to efficiently serve agro-industrial producers and, in turn, hand in hand with banks. We have financed more than 600,000 million in credit, through digital cards, contract farming mechanism, through the mercantile stock market.
How is the fertilizer market doing?
Fertilizers are a market of more than $8 billion annually, in terms of purchasing power and market volume. In addition, Colombia has a rate of fertilization application in crops of 3 tons per hectare.
Do you also export?
We serve the markets of the region close to Colombia. We have just made a very significant investment in our Nitrocaribe plant in Santa Marta, to serve the Central American and Caribbean markets. From the Buga and Buenaventura plant, we have served the Ecuadorian market.
What is your medium-term vision?
We want to be able to serve producers and companies that work in the sector more efficiently. We expect export operations of some 15 or 20 thousand tons in the remainder of the year.
What plans do you have for the future?
The total chain of plant nutrition as a moderator for food production. In addition to the financial connection of production and facilitation for future export.
DIANA K. RODRIGUEZ T.
BRIEFCASE
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