World population is expected to reach 10 billion in 2050
According to preliminary estimates, it will be necessary to
increase
agricultural production by 60% in order to feed the growing
population. Demand for agricultural products will also depend on
changes in diet, alternative uses of crops (e.g. bioethanol
production), as well as the fact that farmers will strive to
increase their crop yield because of limited land suitable for
cultivation.
Solid resource base
Quality resource base is enough for 50+ years
The company has a quality resource base for the next 50 years
according to JORC (2018). PhosAgro is developing its own
deposits of
unique apatite-nepheline ore of igneous origin on the Kola
Peninsula; there are few of such deposits on the planet. Unlike
the
raw materials of other producers, the local ore contains
practically
no harmful impurities.
Diversified product portfolio
Product basket comprise 50+ grades
We currently produce 50+ grades of fertilizers.
Our
flexible and efficient production models allow us to quickly
adjust our product basket to market conditions. Thus,
PhosAgro
is always sure that all the fertilizers produced will be sold
at the most attractive prices.
Diversified customer base
We sell more than 9 million tons of fertilizers to 100 countries every year
We plan to increase sales to 11.7 million tons of fertilizer by
2025. Our flexible business model of production and sales allows
us
to meet demand around the world as quickly as possible. Using
its
own flexible production and well-developed sales strategy,
PhosAgro
is able to mitigate the seasonality of demand and choose markets
with the most attractive prices for our products.
Environmental safety of
fertilizers
A key element of Strategy 2025 is to contribute to solving global problems
We welcome the growing global attention to issues of food
safety,
human health and the prosperity of future generations. We
believe
that cooperation, exchange of knowledge and experience at the
international level will help us to meet the needs of consumers
in
Russia and abroad and offer them the best products and services.
It
will also contribute to the successful solution of environmental
and
food issues at the international level.
Fully self-sufficient in key
feedstocks
PhosAgro is self-sufficient in the core materials for phosphate-based and nitrogen based fertilizers: phosphate rock -100%, sulfuric acid – 90% and ammonia – 90%.
Our operation is based on a vertically oriented model covering
all
business segments – from raw material production to logistics
and
distribution of the finished product. PhosAgro provides itself
with
phosphate rock 100%, sulfuric acid – 87% and ammonia – 90%. This
allows us to control the costs at each stage and ensure the
competitiveness of our fertilizers on the market. In addition,
PhosAgro is constantly improving the efficiency of raw material
processing and fertilizer production. All above mentioned
positions
us in the left side of industry’s cash cost curve and secures
leading EBITDA margin on the backdrop of any market headwinds.
Sustainable investment rating
Stable financial position (BBB-,Baa3,BBB-)
PhosAgro's credit rating has been classified investment-grade by
the
leading global rating agencies. The Group has the lowest level
of
borrowed funds among peer international and domestic companies
and
one of the highest gross profit margins among producers of
phosphorus-containing products.