Despite the headwinds of a global economic downturn and mounting sanctions, Russian mineral fertilizer producers continue to increase supplies both domestically and to friendly countries. In anticipation of the key Russia–Brazil Business Dialogue at the St. Petersburg International Economic Forum 2025 and the BRICS Summit in Rio de Janeiro, BRICS Business Magazine interviewed Andrey Guryev, President of the Russian Association of Fertilizer Producers and Chairman of the Russia–Brazil Business Council. He discussed what helps the industry maintain its global leadership, the development of relations between Russia and Brazil, and why interaction between the two countries could serve as a model for addressing key strategic challenges across the entire BRICS group.
The global economy is currently in a precarious state, teetering on the brink of recession. Against this backdrop, the fertilizer industry is outperforming the dynamics and showing better results. What is driving this trend?
The fundamental premise underlying this long-term upward trend in our market is clear: the ongoing explosive growth of the world’s population. Projections indicate that by mid-century, the global population will increase from the current approximately 8.2 billion to 9.7 billion. These additional 1.5 billion people will need to be fed.
As an undisputed leader on the global market, Russia is set to play a leading role in addressing this issue. First, our country produces the most eco-friendly fertilizers in the world. Second, we have been dynamically increasing our production volumes in recent years.
Since 2013, when a new investment cycle began in the industry, production has grown by 60% and reached 63 million tonnes. This is the highest output our country has ever achieved in over a century of the industry’s history. In this regard, we have surpassed the United States and India, and today we confidently rank second in the world after China.
How much cumulative investment has there been in this new cycle?
In total, our companies have invested more than RUB 1.9 trillion in production over this period. The leading companies in terms of capacity expansion over these years have been PhosAgro, EuroChem, Acron, Shchekinoazot, and the Azot Group. These investments have enabled us to significantly increase the output of all types of fertilizers. This year, we plan to surpass last year’s maximum and set a new historical record of up to 65 million tonnes.
What goals and objectives does the industry face today?
They are ambitious and clearly formulated in the Executive Order on Russia’s development goals through 2030. Over this period, the Russian mineral fertilizer industry aims to increase production of agrochemical products by one-third compared with the 2023 level to up to 80 million tonnes. Supplies to the domestic market should grow by at least 20% to 22 million tonnes. Exports are expected to increase by 50% to 58 million tonnes. Together with the Russian Ministry of Agriculture, we have already actively started working towards these targets.
How is work progressing to meet internal market demand?
Since 2013, deliveries of fertilizers to Russian farmers, our number one priority, have increased by 150%. The amount of fertilizer used per hectare has doubled and reached 77 kg. As a result, we have had record-breaking high-quality harvests across most key crops, including grains, in recent years. It’s worth noting that Russia is currently the only country in the world that fully meets its own needs for all types of mineral fertilizers. In addition, we are the world’s largest exporter of fertilizers, supplying them to more than 100 countries despite numerous restrictions imposed by unfriendly nations.
What is the current capacity of the global fertilizer market? What share does Russia claim within it?
Total estimated global trade in 2024 was 238 million tonnes, of which Russia accounts for 42 million tonnes, or 18%.
Since 2013, Russia has accounted for about one-third of total global growth in fertilizer production, adding an additional 23 million tonnes to the market. Over this period, exports from Russia grew by 60% to 42 million tonnes. This year, we plan to increase supplies abroad to a record-high 44 million tonnes.
As for future prospects on the global market, it is projected to continue growing. Russia has ambitions and capabilities to maintain its position and leadership. Our main focus outside Russia is developing partnerships and trade relations with friendly countries, particularly BRICS member states.
Deliveries of Russian fertilizers to BRICS countries have grown by more than 60% over three years to 21.5 million tonnes. Today, half of Russia’s fertilizer exports go to BRICS members. Further expandingcooperation within the group and individually with each nation remains a top priority.
Brazil, which hosts the next BRICS summit in July is evidently among those priorities. How would you describe the level of bilateral relations and mutual interest between our two countries?
As Chairman of the Russia–Brazil Business Council, I can confidently state that there is enormous interest from both sides in expanding business cooperation. Just consider that over the past five years, the number of companies participating in the business councils of our countries has doubled. In this regard, I would like to thank the governments of Russia and Brazil for their continuous support of our efforts, which we intend to intensify going forward.
Statistics on bilateral trade also reflect dynamic growth in economic ties between our two countries. Last year, we saw record levels of trade turnover between Russia and Brazil. According to Brazilian data, there was a 9% surge in trade to USD 12.4 billion.
All this took place amidst less-than-favourable external conditions. Clearly, our joint efforts have successfully overcome existing barriers. For me personally, representing the Russian fertilizer industry, it’s gratifying to see that non-commodity, non-energy exports from Russia to Brazil are predominantly represented by products from my sector.
I’d like to emphasize that our mutually beneficial collaboration has evolved into a strategic partnership.
What does this partnership look like?
Through extensive collaborative efforts, Russia and Brazil have established a robust and resilient chain in agriculture, ensuring food security not just for our two countries but for billions of people worldwide.
To illustrate, Brazil ranks among the top five global producers and exporters of food. For certain commodities such as soybeans, coffee, sugar, and poultry meat, Brazil is the unquestioned global leader. Over the past decade, Brazil’s agribusiness exports have increased by more than 50% and reached nearly USD 165 billion last year.
Without mineral fertilizers, achieving such impressive outcomes would have been impossible. Over the same ten-year span, consumption of fertilizers by Brazilian farmers rose by one-third. In this regard, Russia’s contribution cannot be underestimated: one out of every five tonnes of fertilizer used in Brazilian fields is produced by Russian companies. Overall, Russia accounts for a quarter of Brazil’s imports of “growth vitamins.” When it comes to compound fertilizers, Russian shipments account for up to 60% of Brazil’s total imports.
What made it possible to achieve such results?
First, consistent increases in finished product exports by our suppliers have played a crucial role. Brazil represents a vital destination for Russian mineral fertilizer exports immediately after the strategically prioritized domestic market.
In 2024, Russia boosted fertilizer exports to Brazil by 20% to a record 11.4 million tonnes. During the first quarter of 2025, based on Brazilian statistics, they increased by another 50% year-on-year growth and reached 2.5 million tonnes.
Second, Russian manufacturers are expanding their production capacity directly within Brazil itself. For instance, EuroChem launched new phosphate fertilizer production facilities in the city of Serra do Salitre in 2024. The company invested approximately USD 1 billion in the project, which has annual output capacity of 1 million tonnes.
Overall, however, our cooperation extends beyond merely supplying or producing fertilizers. It encompasses scientific, environmental, and humanitarian aspects as well.
What does it look like in real life?
Let me give an example based on the company PhosAgro. Over the past five years, it has doubled its exports to the Brazilian market to 2 million tonnes. PhosAgro is not only a key producer and supplier of eco-friendly phosphate fertilizers to Brazil, but is also implementing scientific initiatives and projects that contribute to the professional development of local young people.
For instance, together with the Food and Agriculture Organization of the United Nations, PhosAgro is developing a Latin American Network of Soil Laboratories (LATSOLAN). These labs are tasked with assessing the quality and safety of fertilizers as well as monitoring soil health. There are currently 60 such laboratories operating in Brazil today. The FAO and PhosAgro have also launched a major project called Global Soil Doctors, an educational programme that aims to inform farmers about effective and environmentally safe agricultural methods.
In partnership with the International Union of Pure and Applied Chemistry (IUPAC), PhosAgro organizes Summer Schools on Green Chemistry and awards over 50 scholarships to talented young Brazilian researchers. The company also provides grant support for the joint UNESCO–IUPAC project Green Chemistry for Life.
Furthermore, Brazilian partners are actively involved in developing PhosAgro’s digital educational platform Pro Agro Lectorium, which, with the support of BRICS colleagues, has become an international educational hub in modern agricultural technologies.
We view our cooperation with Brazilian colleagues very positively and intend to further expand it, including through various initiatives that involve not only bilateral formats, but multilateral interaction within the framework of BRICS.
Can you elaborate on these initiatives? What is their core objective?
One example is that we are proposing a range of measures aimed at enhancing interbank cooperation. The need to mitigate political risks associated with settlements conducted through Western banking infrastructure has been evident for some time.
In our view, the most realistic short-term solution is the establishment of a secure settlement system among BRICS countries based on the Chinese currency and utilizing financial institutions in the People’s Republic of China. A key component of this system should be the maintenance of yuan-denominated correspondent accounts by banks in friendly nations and their participation in the Cross-Border Interbank Payment System (CIPS), China’s alternative to SWIFT.
Another one of our initiatives is the creation of a BRICS carbon exchange. In this context, Russia and Brazil, which collectively are home to 32% of the world’s forest resources and are effectively the “lungs” of modern civilization, share clear common interests and could join forces to pursue this goal. At this stage, we are proposing the creation of a dedicated working group with leading scientists and representatives of regulatory bodies from both countries. The BRICS New Development Bank could serve as the platform for this initiative.At the same time, the issue of excessive trade barriers between BRICS member states remains a pressing concern. To address this, we believe it is essential to develop a mechanism that will allow for consistent progress in liberalizing trade within the BRICS economic space. The fertilizer industry, particularly recent Russia–Brazil agreements, clearly illustrates the mutual benefits of eliminating trade barriers across our shared markets.
How does this mechanism work?
A prime example can be found in the fertilizer industry, which has played, and continues to play, a significant role in the overall trade turnover between our two countries. This contribution was largely enabled by a 2014 decision by Brazil’s Foreign Trade Chamber under the Council of Ministers, which eliminated a 6% import duty on high-quality Russian fertilizers that contain no concentrations of heavy metals harmful for humans or soil.
This step taken by our Brazilian partners was not only reasonable, but also rational and pragmatic. Over the years, Brazilian farmers who opted for eco-friendly fertilizers from Russia have gained a clear competitive edge in the marketplace. After all, today’s consumers increasingly prefer safe, high-quality food products, a preference that directly benefits producers committed to sustainability and health-conscious practices.
The environmental safety and purity of fertilizers from Russia is not just a declaration or marketing claim, it is a scientifically verified fact that is backed up by extensive research and rigorous testing. One such confirmation is the ABNT Ecolabel, an environmental quality mark awarded by the Brazilian Association of Technical Standards. This certification affirms that PhosAgro’s products fully comply with Brazil’s stringent standards for the production, storage, and transportation of fertilizers.
Such recognition is the result of long-term collaborative efforts aimed at harmonizing environmental regulations and standards between our two countries. These efforts have led to the development of unified requirements for advanced mineral fertilizers, aligned with the internationally recognized LEAF Marque standard.
The experience and outcomes achieved through this initiative could serve as the foundation for a roadmap that aims to eliminate technical barriers to the movement of safe, high-quality products across markets of friendly nations, first and foremost within BRICS. Over time, this model could evolve into a blueprint for broader cooperation, helping to expand relationships and jointly address a wide range of challenges across the entire BRICS framework.
