Italy scores its first victory in the EU on fertilizers
Italy has requested an end to tariffs on ammonia and urea imports from non-EU countries (except Russia and Belarus). With fertilizers accounting for up to 30% of production costs, the measure aims to protect Italian companies, which depend on imports for 70% of their needs. Facts, figures, and comments
While there is still no response to the request to temporarily suspend the carbon tax at EU borders, Italy has won a victory by suspending import duties on ammonia and urea from non-EU countries—with the exception of Russia and Belarus, which will remain subject to sanctions due to the war in Ukraine.
The European Commission has therefore announced its intention to implement the remaining burden reduction as quickly as possible during 2026. At the same time, the measure has been accompanied by the opening to a possible derogation from the effects of the Carbon Border Adjustment Mechanism (CBAM), which could also be applied retroactively from 1 January 2026 if the impact on the market proves excessive.
ECONOMIC IMPACT AND SECTOR DATA
The intervention aims to rebalance a market marked by sharp price increases: as Corriere recalls, since the end of the pandemic and the start of the conflict in Ukraine, fertilizer prices have increased by 60% compared to 2020.
Currently, according to Confagricoltura data reported by Il Sole 24 Ore , fertilizers represent between 15% and 30% of the total production costs of agricultural companies.
Italy is particularly exposed, as it imports approximately 70% of its mineral fertilizers (nitrogen, phosphate, potassium), with almost 50% of supplies coming from Egypt, followed by Algeria, Libya, Turkey, and Morocco.
Again according to Il Sole 24 Ore , at a European level, in the first nine months of 2025, the Twenty-seven imported 14 million tonnes of fertilisers (+4% annually) for a total expenditure of 5.4 billion euros (+11.5%).
Furthermore, the implementation of the CBAM had already triggered a 10-20% price increase in the first few days of the year.
THE GOVERNMENT'S REACTION
The news could only be welcomed by the government, given that it had been indicated as a condition for Italy's approval of the trade agreement with Mercosur.
"The suspension of fertilizer duties is an achievement for Italy, a concrete measure to support the competitiveness of businesses and the strength of the Italian and European agricultural system," commented Minister of Agriculture and Food Sovereignty Francesco Lollobrigida.
Regarding the carbon mechanism, he added that the suspension request "will allow us to neutralize, even retroactively, the increased costs that agricultural businesses would have had to bear with the entry into force of the regulation."
For Masaf Undersecretary Patrizio La Pietra , this is "excellent news for our farmers, the result of extensive work by the Meloni government." According to La Pietra, the Commission has demonstrated "common sense and support for Italian and European farmers," keeping its commitment to industry operators.
COMMENTARY FROM AGRICULTURAL ASSOCIATIONS
Agricultural confederations also expressed satisfaction, emphasizing that implementing the CBAM without defined technical parameters would have generated "operational uncertainty and an unsustainable increase in costs." Confagricoltura emphasized that implementing these proposals would "avoid a distortion of competition to the detriment of European farmers, who would have had to pay for the increase in input costs while agricultural imports from third countries remained exempt."
Cristiano Fini, president of Cia-Agricoltori Italiani, quantified the expected benefits: "This way, we avoid additional increases of up to 30%, price increases of between 40 and 140 euros per ton on the budgets of companies already burdened by unacceptable production costs."
THE CAUTION OF INDUSTRY
The industrial sector, however, is treading carefully, fearing repercussions on the reciprocity of environmental standards. Paolo Girelli, president of Assofertilizzanti-Federchimica, told Il Sole 24 Ore : "This is a sensitive issue because a possible suspension could temporarily relieve some players in the sector; however, without alternative compensation tools, there will be serious repercussions on market balances in the medium to long term."
Girelli also recalled that the CBAM was created to ensure "fair competitive conditions", preventing EU companies, subject to stringent environmental regulations, from being penalized compared to competitors from countries with less rigorous standards.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/economia/sui-fertilizzanti-litalia-incassa-una-prima-vittoria-nellue/ on Thu, 15 Jan 2026 10:04:57 +0000.