Economy

Brazil will defend at FAO that fertilizers stay out of sanctions against Russia

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The Minister of Agriculture of Brazil, Tereza Cristina, this Thursday (10th) managed to get support from her fellow ministers from South American countries to take to the FAO (United Nations Food and Agriculture Organization) a proposal that fertilizers remain outside economic sanctions for war and geopolitical issues.

The minister’s main argument, that fertilizers, like food, cannot be sanctioned, was supported this Thursday by the ministers of the CAS (Southern Agricultural Council), which brings together Argentina, Bolivia, Brazil, Chile, Paraguay and Uruguay. , advisers to Tereza Cristina told Reuters.

Cristina will take the South American proposal to the director general of FAO, the Chinese Qu Dongyu, in a virtual audience scheduled for next Wednesday.

The minister had expressed her intention in a recent interview, but the hearing had not yet been scheduled, nor was there the unanimous support of the CAS countries for the proposal.

The minister understands that the issue should have a global solution, considering that the shortage of fertilizers can generate problems for the supply of food and high prices, and hopes to find support from FAO for the matter to be passed on to UN members.

“World inflation on food is something that should worry all countries in the world with the globalized economy…”, stated Cristina, in a recent interview.

Even before the war in Ukraine, the global supply of fertilizers, especially potash, was already threatened, since the United States had sanctioned Belarus, a major producer of this raw material.

Now, the situation has worsened, as Russia is a major producer. Brazil imports about 85% of the fertilizer it consumes and has the Russians as its main suppliers, with more than 9 million tons in 2021, or 22% of the total purchased abroad by the country.

On Thursday, Russian President Vladimir Putin said that if the West creates problems for Russia, there will be inevitable negative consequences for global food markets.

Putin also said that Russia has agreements on fertilizers with friendly countries, but did not elaborate.

President Jair Bolsonaro was in Russia before the war, in a meeting with Putin, to discuss fertilizers, among other topics.

The Brazilian later defended a position of neutrality in relation to the conflict, although Brazil voted to condemn the invasion of Ukraine at the UN assembly.

TRIP TO CANADA

The conversation at FAO is yet another international initiative by the Brazilian minister to try to guarantee the supply of fertilizers.

Early next week it will be in Canada, home to the largest global producer of potash, Nutrien, together with the private sector to facilitate business with Brazil for the product.

Before the war, the minister was in Russia on a similar trip.

At the same time, the Brazilian government should announce on Friday a National Plan for Fertilizers, aiming to stimulate local production and reduce dependence on imported products.

Agriculturebolsonaro governmentEuropefertilizerfoodsRussiasanctionssheetTeresa CristinaUkraineVladimir PutinVolodymyr ZelenskyWar in Ukraine

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