Moscow – PhosAgro (Moscow Exchange, LSE: PHOR), one of the world’s leading vertically integrated phosphate-based fertilizer producers, announces that it has opened an office in Argentina (Buenos Aires).
This is the second PhosAgro office in Latin America, with the first opened several years ago in Sao Paulo. Latin America is second only to PhosAgro’s domestic Russian market in terms of sales volumes, accounting for more than a quarter of exports of PhosAgro fertilizers.
"In 9M 2018, sales of PhosAgro products to Latin America increased by 30% year-on-year to almost 1.5 million tonnes," said PhosAgro CEO Andrey Guryev, "The historic abolition of the 6% import duty on high-quality DAP in August 2017 opened up new opportunities in the Argentine market for Russian mineral fertilizers that contain very low levels of potentially hazardous impurities. In the future, we estimate PhosAgro's market share for complex phosphate-based fertilizers in Argentina will reach 15%-20%.
“In 1H 2018, PhosAgro nearly tripled its sales to Argentina to 135,000 tonnes. We plan to sell at 200,000 tonnes of fertilizers annually in Argentina, thanks to a better understanding of market demand and an increase in direct sales," said Sergey Pronin, Deputy CEO for Sales and Marketing.
PhosAgro-Argentina is the Company’s tenth foreign trading office, and third office outside continental Europe. The company operates trading offices all key export markets. Thanks to successful implementation of the Company’s long-term development strategy, PhosAgro’s share of direct sales now exceeds 90%, compared to 53% just five` years ago.