The UNAF addressed Prime Minister of Ukraine Volodymyr Groysman with a request to consider the possibility of amending the Decree of the Cabinet of Ministers of Ukraine of 20.12.2017, No. 1022, namely to exclude item 3 of the heading “3102 21 00 00 Ammonium Sulfate”.
According to calculations, this spring, Ukrainian agrarians risk facing a critical increase in the deficit of sulfur-containing fertilizers, the need for which is estimated at 360-400 thousand tons per year.
During 2017, domestic chemical enterprises produced about 130 thousand tons of sulfur-containing fertilizers, three times less demand. For 2018 Ukrainian enterprises, it is planned to produce 220-240 thousand tons of granular nitrogen-sulfur fertilizer (ASDG), the raw material for which is ammonium sulfate crystalline caprolactamy.
The main supplier of ammonium sulfate in Ukraine was Grodnoazot (Belarus), but after launching similar production at BelAgroFert (Grodno), all Belarusian raw materials are processed on-site. In this connection, the supply of this product in Ukraine is suspended.
In Ukraine, this raw material is absent, because the installation for the production of ammonium sulfate at Cherkassy Azot (as part of the production of caprolactam) has not been operating for about five years. The ammonium sulphate sanitary installation at JSC Sumykhimprom is low-powered and does not cover the need of domestic enterprises.
The situation is aggravated with the adoption of the Resolution of the Cabinet of Ministers of Ukraine of 20.12.2017, No. 1022, according to which since 01.03.2018, it is prohibited to import into the customs territory of Ukraine, in particular, ammonium sulfate of Russian origin, today is the only available source of raw materials for manufacturing sulfur-containing nitrogen fertilizers.
Thus, the implementation of the provisions of this resolution of a part of this commodity position will lead to a halt of Ukrainian factories, the release of hundreds of workers and additional burdens on the labor market and social insurance funds. The amount of taxes and fees not received by the state only from the UkrTechnoPhos Group of Companies for 10 months of this year. will be about 38900000 UAH, of which: income tax - 10800000 UAH, value added tax - 21.0 million UAH, personal income tax, a single social contribution and military tax - 7100000 UAH.