Question to the Department for Environment, Food and Rural Affairs:
To ask Her Majesty's Government what steps they are taking, if any, to ensure the availability of fertiliser and carbon dioxide to the farming and food sectors following the announcement by CF Fertilisers that they are halting production in the UK.
It is disappointing that CF Fertilisers has taken the decision to halt ammonia production at Billingham. However, since last autumn the CO2 market’s resilience has improved, with additional imports, further production from existing sources such as anaerobic digestion and bioethanol and better stockpiles. We expect the supply of ammonia (from imports by CF Fertilisers) and production of nitric acid and fertiliser to be unaffected. While the Government continues to examine options for the market to improve resilience over the longer term, we urge industry to do anything it can to meet demand, which is in the best interest of businesses and the public.
National Fertiliser Supplies
CF Fertilisers produces ammonium nitrate fertiliser and nitric acid in the UK at Billingham. The company expects to fulfil all ammonia and nitric acid contracts and all orders of Ammonium Nitrate contracted for delivery in the coming months. The supply and price of these products is a commercial matter for CF Fertilisers, and we expect supply to continue.
While global fertiliser prices have risen, the supply chain providing imports of fertiliser to the UK has remained dynamic. We are continuing to monitor the security and stability of fertiliser and other supply chains and work closely with colleagues across government and devolved administrations as well as industry figures.
Carbon Dioxide Supplies
Defra is working with sector stakeholders to encourage contingency planning and resilience and understand that various CO2 supply companies in the UK are working on or have secured additional CO2 to mitigate shortages. We are confident CO2 stocks are secure for the coming winter.