Russia's EuroChem opens modern complex for the production of phosphate fertilizers in Brazil

By Rhod Mackenzie

On March 13, 2024, EuroChem launched a new plant for producing phosphate fertilizers in Serra do Salitre, Brazil. The ceremony was attended by the President of Brazil, and the state governor and members of the government - the vice president and ministers - also spoke.
During his speech, Brazilian President Luiz Inacio Lula da Silva praised EuroChem's investment in the Salitri complex, stating that the company's decision aligns with Brazil's efforts to become the world's breadbasket. He highlighted Brazil's self-sufficiency in many areas and emphasized the need to improve soil quality, for which fertilizers are essential.

EuroChem announced that the new complex is the largest recent investment made by the Group in creating new production facilities outside Russia. The project required a total investment of approximately $1 billion.

The new EuroChem enterprise will have a production capacity of 1 million tons of modern phosphate fertilizers, which will significantly enhance the reliability of supplying Brazilian farmers with phosphate fertilizers.

The plant is a modern facility that produces phosphate fertilizers. It has a fully closed, low-flow water circuit and a clean energy production system that generates 40% of the plant's energy.

EuroChem CEO Oleg Shiryaev stated, 'EuroChem has been successfully operating in South America for a long time; this is the most important growing market for us, where there is high demand for our products.' The opening of a new facility in Brazil brings us closer to our customers and allows us to provide Brazilian farmers with access to high-quality fertilizers through our distribution. EuroChem follows a 'mine to farm' principle, meaning we produce and ensure reliability and quality throughout the entire chain, from raw material extraction to fertilizer production and delivery to the end consumer.
According to Neftegaz.ru, the new plant will produce 15% of Brazil's phosphate fertilizers and all products will be sold domestically.

The Salitry complex will provide high-tech and effective fertilizers that are adapted to Brazilian soils, helping farmers increase their yields while reducing costs. During his speech at the opening ceremony of the plant, Oleg Shiryaev noted that thanks to production at Salitri, Brazil will be able to reduce its dependence on imported fertilizers.

EuroChem, a leading international fertilizer manufacturer with production capacity for all three main groups of nutrients - nitrogen, phosphorus, and potash - owns the plant. The company's main assets are located in the Russian Federation. The company employs 32,000 people, with 27,000 based in Russia. EuroChem has made significant investments in production development, launching several new facilities in the Russian Federation in recent years. These include the EuroChem-North-West ammonia plant in the Leningrad region, the Usolsky potash plant in the Perm region, and VolgaKaliy in the Volgograd region. EuroChem is building a plant in the Leningrad region for the production of ammonia and urea, as well as a production facility for potassium nitrate in the Stavropol Territory. Additionally, the company is constructing a Chemical Complex in Kazakhstan.

In South America, EuroChem has its own production facilities and distribution network. The company has been present in the region since 2016, following the acquisition of Fertilizantes Tocantins and Fertilizantes Heringer. EuroChem's operations in Brazil employ 3,500 people.