TOAZ to Freeze Fertilizer Prices for Russian Agricultural Enterprises
TOAZ (Togliattiazot), one of the leading producers of ammonia and urea in Russia, is freezing the average sales prices for mineral fertilizers to be supplied to Russian agricultural enterprises until the end of the autumn sowing campaign (October 31, 2021). The company management made this decision to support Russian farmers and Russia’s agricultural sector in general.
In the recent years, Togliattiazot has been actively ramping up the supply of fertilizers to the Russian market. For instance, in 2019, the company was the largest urea supplier to the Russian agricultural sector, according to the Federal Antimonopoly Service’s data. Being a responsible producer guided by the mission “We care about land fertility and crop yield for the benefit of the whole world”, the company is committed to the needs of Russian agricultural enterprisers. In coordination with the industry community, including the Russian Fertilizers Producers Association, and taking into consideration the Russian Government’s position, TOAZ has made the decision to temporarily freeze its prices for mineral fertilizers for the domestic market at the level not exceeding the one of July 2021.
This measure is expected to have a positive impact on the Russian agricultural sector and will make it possible to implement the methodology for identification of fertilizer affordability for Russian farmers developed by the Ministry of Industry and Trade, Ministry of Economic Development, Ministry of Agriculture, and Federal Antimonopoly Service according to the assignment by Andrey Belousov, the First Deputy Chairman of the Government of the Russian Federation, on a scheduled basis.
“Freezing the prices for mineral fertilizers by TOAZ will allow to avoid their growth in the sowing season to support our consumers and set additional conditions for increasing the scopes of purchases on the domestic market. This step will make it easier for Russian farmers to plan their business operations and retain their profitability. Moreover, this approach used by TOAZ is in the interests of the Russian economy and is in line with the position of the industry community”, says Vladislav Pustynnikov, the Deputy General Director and Commercial Director of JSC Corporation Togliattiazot.
Please find an update of the new urea production unit construction process. As of now the unit is 65.7 per cent completed. Togliattiazot has recently started hiring employees for the new unit, and over 20 of them have already started working.
Regarding the Open Session on the Cassation Appeal
Board of Directors of PJSC TOAZ set a date to conduct an Extraordinary General Meeting of the shareholders.