Posted By Global Banking and Finance Review
Posted on January 28, 2025
BRUSSELS (Reuters) - The European Commission proposed on Tuesday imposing tariffs on more agricultural products and certain nitrogen-based fertilisers from Russia and its ally Belarus to prevent a potential threat to EU food security.
The EU executive increased tariffs last year on imports of grain from the two countries. It said the new tariffs would apply to the 15% of agricultural imports from Russia in 2023 that had not previously been subject to increased duties.
The tariffs on certain nitrogen-based fertilisers would support domestic production and allow for diversification of supply from elsewhere, the Commission said.
It said in a statement it wanted to hit Russian export revenues and Moscow's ability to wage war against Ukraine and to reduce dependencies on imports from the two countries.
"Such imports, particularly of fertilisers, make the EU vulnerable to potential coercive actions by Russia and thus present a risk to EU food security," the Commission said.
The fertiliser tariff hike would include mitigation measures if EU farmers saw substantial price increases.
It would not affect the transit of Russian agricultural and fertiliser exports to third countries, the Commission said.
The EU had previously avoided imposing sanctions on Russian agricultural products and fertiliser so as not to disturb global supplies, particularly to developing countries.
The Commission's proposal will come into force after expected approval by EU governments and the European Parliament. Last year, the new tariffs took about two months to enter force.
(Reporting by Philip Blenkinsop in Brussels; Editing by Nia Williams)
