Fertilizers & Agriculture May 2015 by International Fertilizer Industry Association

May 2015

fertilizers www.fertilizer.org

Michael McLaughlin is the 2015 IFA NB Award winner 3

agriculture Unlocking the future of African agriculture

Yara Brunsbüttel wins the 2015 IFA Greeen Leaf Award

Understanding fertilizer market trends addressing industry supply-related issues by Rakesh Kapur By investing in capacity and developing new products, the fertilizer industry has helped farmers to keep pace with the needs of a growing global population. The nutrient products we manufacture are responsible for about half the world’s food production. Performing our role well depends on our ability to produce and trade fertilizers; thus we need to better understand market dynamics and trends, monitor emerging policies, and address sectorial supply issues. cont’d on page 2

The Global Partnership on Nutrient Management by Greg Crosby

he use of mineral fertilizers, especially nitrogen, phosphorus and potassium based compounds, has made it possible to feed a fast-growing and wealthier world population. However, meeting the global challenge of realizing food security has been linked for many decades to issues related to nutrient management in the context of food production systems. Inefficient and ineffective use (in terms of source, rate, time and place) of nitrogen and phosphate fertilizers contributes to losses of these nutrients from the point of intended use into the wider environment. This, in turn, leads to a nutrient cascade which

n February 2015 the Food and Agriculture Organization (FAO) reported that global fertilizer use would surpass 200 million tonnes in 2018, the current level being of 184 million tonnes. This projection represents both an opportunity and a challenge for the fertilizer industry. Our opportunity lies in enhancing the production of innovative products, along with improving nutrient efficiency, logistics and infrastructure along the value and supply chains. Our challenge is to ensure that we meet the world’s future fertilizer nutrient requirements sustainably with proper product stewardship practices (leaving a minimal environmental footprint) and at affordable prices for farmers. Indeed, innovation and stewardship go hand in hand. As Chairman of the Production and International Trade (PIT) Committee since May 2014, I believe it is important for the IFA membership to follow the path of innovation and increased product stewardship. The fertilizer industry has diversified its range of products to better match local soil and crop requirements. We have also improved our operational performance in terms of production and logistics. We should highlight our contributions to global food security. At the same time, we should take stock of emerging challenges and issues that will impact our ability to produce for future generations.

overwhelms natural systems, with associated adverse environmental effects through accumulation in freshwater and ultimately in marine environments. cont’d on page 10

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Understanding fertilizer market trends - addressing industry supply-related issues

impacts for the fertilizer industry. This year the Committee launched two initiatives to address and monitor trade aspects (the Task Force on Trade Measures and the Task Force on Trade Contracts). We may expand our work by assessing the allocation of feedstock to the fertilizer industry, or by evaluating the availability of raw materials for the manufacture of specialty products (e.g. zinc ash, neem oil). © Don Fink

Market intelligence through qualitative statistics Port of Tampa, Florida The PIT Committee oversees the IFA Secretariat’s work to provide members with information on market trends and address supply-related issues. The core mission of the Committee is to ensure the availability of authoritative information related to fertilizer supply and to monitor developments that may impact future fertilizer output, distribution and trade. Working in one of the world’s largest fertilizer companies, I strongly believe in the intrinsic value of understanding market trends in order to benefit from business opportunities and tackle challenges. From a supply perspective, we need to ensure the viability of our plants; increase the operational and safety performance of our production units; secure sustainable access to feedstock; reduce production waste and increase nutrient recovery through the upstream supply chain; invest in enhanced fertilizers; improve our logistical performance; and promote sustainable nutrient management practices. I see the following three areas as priorities in the coming years:

Innovation Innovation is more than a buzzword. It is action-oriented. The fertilizer industry has been developing and producing enhanced efficiency fertilizers and specialty products with added characteristics. Through innovation, our industry will grow sustainably and increase its societal contribution. Moving beyond some valuable market niches, larger vol-

The PIT Committee plays a vital role in IFA by overseeing the Secretariat’s efforts to provide authoritative statistics on fertilizer and raw material supply. umes of enhanced mainstream products These statistics allow the industry to betare being produced more extensively to meet farmers’ needs. Yet better market ter understand global trends and better intelligence on innovative products is invest in new capacity. In 2015 the Comrequired. We need to improve IFA memmittee will devote additional resources to improving its regional statistical covbers’ understanding of these production trends, but we also need to highlight our erage in China, and in Eastern Europe innovation efforts to and Central Asia, with external stakeholders. two new dedicated task ...Innovation and In 2015 the PIT Comforces. Our coverage of emerging specialty mainstream products will mittee will collaborate expand to include complex with the IFA Agricul- products will be the NPK fertilizers through a ture Committee to map main theme of the out how the Associa- 2015 PIT conference. Task Force on NPK Comtion can better underpounds. Another aim is to improve the delivery of PIT statistics to stand the markets for specialty products IFA members as well as access to these and assess global trends. I am pleased to statistics. Finally, the PIT Committee will announce that innovation and emerglook into the assessment of sectoral basic ing specialty products will be the main economic indicators (e.g. employment, theme of the IFA Production and Interglobal sales and investments) to allow national Trade Conference in Tampa, IFA to benchmark the evolution of the Florida on 21-23 September 2015. fertilizer industry and better communiSupply chain issues cate about its economic contribution to policy-makers. Our key objective is to improve our apThe opportunities and challenges for proach to monitoring and addressing our industry therefore loom large. The issues that could impact our ability to PIT Committee is aligned to better serve produce and trade fertilizers in the fuour industry, provide tools and knowlture. The PIT Committee should spend more time on areas of concern such as edge to meet IFA’s strategic objectives, energy price volatility and chronic natuand facilitate partnerships with key stakeholders. ral gas shortages; phosphoric acid availability in key producing and consuming countries; declining reserves of good Rakesh Kapur is Joint Managing Director quality rock phosphate; and barriers to of Indian Farmers Fertiliser Cooperative trade. In March 2015 the PIT Committee Limited, India; Chairman of The Fertiliser organized a well-attended webinar (see Association of India (FAI); and Chairman page 8) for IFA members that focused of the IFA Production and International on shifts in energy prices and potential Trade Committee.

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May 2015

2015 IFA Norman Borlaug Award laureate For excellence in crop nutrition reseach Professor Michael McLaughlin is the 2015 IFA Norman Borlaug Award laureate. Nominated by The Mosaic Company, he was selected from ten other excellent nominees. Michael McLaughlin is a Science Fellow in Australia’s Commonwealth Scientific and Industrial Research Organisation (CSIRO) and a Research Professor in Soil Science at the Waite Campus of the University of Adelaide, Australia. He has more than 30 years of experience in soil fertility and plant nutrition research, covering more than three continents – first in Africa, and then in Australia and Southeast Asia. Prof. McLaughlin is a graduate of the University of Ulster, the University of Reading and the University of Adelaide (all in the United Kingdom) and was Technical Manager of the Australian Phosphate Corporation in Melbourne from 1989 to 1991. His research now has global impact and coverage through the establishment of the University of Adelaide Fertiliser Technology Research Centre1, which aims to develop more effective fertilizer formulations and fertilizer management strategies, including better diagnostic soil tests, better timing and placement of fertilizers, and new methods of fertilizer evaluation. The Centre is supported by The Mosaic Company, the Australian Grains Research and Development Corporation, and the Australian Meat and Livestock

Association. It includes a strong training component for postgraduate students. The Centre has active research programmes, which examine fertilizer effectiveness in soils from around the globe, and collaborates with local researchers performing field trials in Australia, New Zealand, North and South America, and Asia. The Centre’s research is characterized by a mix of examination of fundamental mechanisms of fertilizer behaviour in soils, combined with observations from glasshouse and field trials to improve fertilizer effectiveness. The research carried out by Prof. McLaughlin’s team is also characterized by the use of advanced analytical methods to examine fertilizer behav-

iour and effectiveness (e.g. synchrotron x-ray spectroscopy, x-ray tomography, and stable and radioisotopic tracing and dilution) in order to determine the fate of added fertilizer and to benchmark improvements in effectiveness. The Centre’s current research focus is on improving the effectiveness of phosphorus, potassium, sulphur, zinc, selenium and boron in both cropping and grazing systems. It collaborates with plant physiologists, plant biochemists, spectroscopists, physical chemists, material scientists and agronomists to evaluate new fertilizer formulations and to develop new and improved products and strategies. Recently, research began on evaluating the use of nanomaterials and biostimulants in new formulations. Prof. McLaughlin has a strong record of examining environmental issues related to fertilizer use, including identifying management strategies to control cadmium (and other impurities) in agricultural systems through Australia’s National Cadmium Minimisation Strategy2. More recently, his team has been focusing research on controlled release fertilizer products to reduce nutrient runoff and leaching. Michael McLaughlin is also an apt and avid communicator of his team’s research. He is a regular speaker at meetings of farmers, consultants, researchers and industry and produces farmer factsheets, websites, brochures and handbooks to assist farmers and consultants to manage nutrients sustainably and to maximize food quality. Prof. McLaughlin has supervised over 20 postgraduate research students from Australia, Brazil, China, Ecuador, Germany, Iran, Malaysia, and Sri Lanka who now work in government, academia, industry and regulatory agencies. www.adelaide.edu.au/fertiliser/ www.cadmium-management.org.au

More on past IFA NB Award winners and the NB Award procedure: www.fertilizer.org/AwardBorlaug

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Farmer outreach Series of “innovative ideas on effective last-mile delivery”.

Transforming Ethiopian agriculture through custom-made fertilizers By Tekalign Mamo and Hezekiel Tasse

The Ethiopian Soil Information System (EthioSIS) While soil fertility depletion in Ethiopia has been significant, only DAP and urea fertilizers have been used since chemical fertilizers were first introduced into the country about four and half decades ago. In 2011, recognizing the knowledge gap with Figure 1. Status of the soil fertility survey in Ethiopia (March 2015) respect to information on the soil fertility of agricultural land, and in an effort to more than double agricultural production by the end of 2015, the Ministry of Agriculture and the Ethiopian Agricultural Transformation Agency jointly launched the EthioFigure 2. Soil fertility atlas of the Tigray region, Ethiopia pian Soil Information System (EthioSIS). The mandate of EthioSIS is to assess phur, zinc, boron and iron. As a result, the fertility status of agricultural areas last year the country started to distriband recommend appropriate fertilizute new and custom-made fertilizers by woreda. ers to farmers. So far, the project has completed digital soil fertility mapping in 383 of the country’s woredas or adPromoting farmers’ awareness ministrative districts (Figure 1) and pubof new fertilizers lished the complete soil fertility status In order to carry out demonstrations to and a fertilizer recommendation atlas tens of thousands of farmers, since 2011 for the Tigray region (Figure 2). Based more than 15 straight, compound and on information generated from the surblended fertilizers have been obtained through donations from international veyed woredas, it was found that the fertilizer companies such as Yara Intermost yield-limiting nutrients are mainly nitrogen, phosphorus, potassium, sulnational, OCP, ICL Africa and Minjingu

fter many years of stagnating crop yields, Ethiopia has now managed to achieve continuous growth in agriculture for more than a decade. This did not occur all of a sudden. In addition to scaling up the use of improved crop varieties and best agronomic practices, the country has been promoting the implementation of improved land/soil management practices, such as community-based participatory watershed development; rehabilitation of acid soils using lime; increasing the productivity of Vertisols or clay soils by draining excess moisture using modified ploughs; and promoting the use of compost and bio-fertilizers. These combined interventions have helped farmers increase their productivity, reaching a national cereal yield average of more than 2 million tonnes per hectare in 2013. However, more action is needed in the area of soil fertility replenishment and fertilizer use in order to boost crop productivity.

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IFA news

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DAP + Urea + mixture of Sulphur & S micronutrients

DAP + Urea only

Figure 3. Comparison of wheat plots treated with two sets of fertilizers in Dendi, Ethiopia (2013) Organic Phosphate. The purpose has been to determine how these fertilizers would perform compared to traditionally used DAP fertilizer, rather than to test whether they were suitable for future distribution since this would be determined based only on soil fertility survey results. Another objective has been to promote farmers’ awareness of new fertilizers. About 22 graduate students have been engaged in validation work for the new fertilizers. Almost all the fertilizer demonstrations have shown higher yields (averaging between 25 to 80 percent) (Figure 3), indicating that the existing fertilizer package was in need of immediate revision. Yield gains may be even higher when the fertilizers distributed were those identified through soil tests. Farmers have appreciated the new fertilizers and have not wasted any time requesting them. Through this initiative, which is ongoing, it has been possible to conduct about 40,000 demonstrations and reach out to more than 4 million Ethiopian smallholder farmers.

Establishing local capacity to blend fertilizers In an effort to make the recommended fertilizers available to farmers, in February 2013 the Ministry of Agriculture and the Ethiopian Agricultural Transformation Agency jointly launched a new national fertilizer blending programme. Initially, there were plans to establish five fertilizer blending plants in strategic locations in the country. One plant co-funded by the United States Agency

for International Development (USAID) through an Agricultural Growth Program-Agribusiness and Market Development (AGP-AMDe) project started production in May 2014. The other two plants started operation in the first week of March 2015, while the remaining two plants are expected to start producing fertilizers before the end of March 2015. Additional plants will also come into existence through public-private partnerships.

Looking ahead With increasing input use, credit opportunities and a strong extension system, we are optimistic that Ethiopia will continue to produce a surplus, increase the national yield average, and more than double the current cereal productivity level in a short period. Currently the rate of farmers' adoption of improved technologies is quite high. Model farmers also serve as change agents, attracting many followers. With custom-made fertilizers applied down to parcel level, and a strengthened fertilizer advisory service providing soil test-based fertilizer recommendations, there is good reason to believe that Ethiopia can soon realize a green revolution and that agriculture will continue to contribute to the country’s economic growth. Tekalign Mamo and Hezekiel Tasse are Program Leader and Project Manager, respectively, of the Ethiopian Soil Information System (EthioSIS) and Fertilizer Blending Projects at the Ethiopian Agricultural Transformation Agency (ATA).

International Year of Soils (IYS) On 16 March, Barrie Bain, IFA consultant, attended the latest meeting of the FAO committee guiding events during the UN IYS. IFA has taken a prominent role in these celebrations and donated US$ 50,000 to FAO for communicating about soils. IFA is the key private sector member of the steering committee which is mostly comprised of countries. The association will be participating in a number of events and is planning joint publications on soils with FAO and the UN International Fund for Agricultural Development.

On 20 April, IFA launched a new campaign promoting soils called “Growing Smart Together”, a website hosting a collection of 40 video interviews of experts talking about the importance of soils. The date coincided with Global Soil Week in Berlin where the campaign was displayed. We count on our members to spread the word and use the videos widely. www.growingsmarttogether.org

4R Nutrient Stewardship A Policy Toolkit

IFA, March 2015. 8 pp. www.fertilizer.org/NutrientStewardship

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Unlocking the future of African agriculture

by Richard Mkandawire

t is often said that a house is only as strong as the foundation upon which it sits. The same may be said for the importance of soils in keeping the agricultural sector productive, sustainable and resilient. Soils are the cornerstone of the food chain, yet the role they play receives insufficient recognition. For this reason the United Nations has declared 2015 the International Year of Soils1. Nowhere is the issue of soils more important than in Africa. More than 70 percent of the African population relies on agriculture in some way for their livelihoods. Growth in the agricultural sector has the potential to help meet a number of development goals – from reducing poverty and hunger to improving health and nutritional status. Africa has 60 percent of the world’s remaining uncultivated arable land. However, an estimated 65 percent of its arable land is degraded as a result of topsoil erosion and nutrient depletion due to poor farming practices. It has been estimated that the equivalent of US $4 billion in soil nutrients is lost annually in Sub-Saharan Africa alone. Agriculture can drive economic prosperity, and our soils are a strategic natural resource. Agricultural transformation in Africa will require smallholder and

application rates in Africa are around 11 kilogrammes per hectare, which is not even one-tenth4 the global average. The result of low fertilizer use is that cereal crop yields in Africa are one-third those in developing Asia and only one-tenth those in the United States. It is estimated that increasing crop yields in Africa by only 1 percent could lift two million Africans out of poverty. Recognizing the potential economic benefits of addressing the problem of Africa’s severely depleted soils, in 2006 the African Union Special Summit of the Heads of State and Government adopted the Abuja (Nigeria) Declaration commercial farmers to work together on Fertilizer for the African Green Revosymbiotically. And it will require African lution, in which they agreed to support political leaders to live up to the coman increase in fertilizer use from 8.0 to 50 kilogrammes per hectare by 20155. mitments they made in the 2003 MaThis increase, sadly, looks unlikely to be puto (Mozambique) Declaration on Agachieved. So how then can soil health riculture and Food Security, which gives be bolstered on the African continent? strong support to the Comprehensive The first way is to invest in infrastrucAfrica Agriculture Development Programme (CAADP) as ture. Without adequate a framework for the road and port facilities, It is estimated that restoration of agriculincreasing crop yields in the costs of transporting inputs, including fertilizer, tural growth and food security2. The Maputo Africa by only 1 percent will remain high and farmDeclaration includes could lift two million ers’ ability to access markets a commitment to al- Africans out of poverty.  for their crops will remain constrained. Currently only locate at least 10 per16 percent of Africa’s 1.8 million kilomecent of national budgetary resources to agriculture and rural development tres of roads are paved, and only onepolicy implementation. quarter of African farmers have access African Heads of State and Government to a market two hours or less away. affirmed these priorities in the 2014 Another way is to offer more extensive Malabo (Equatorial Guinea) Declaraand relevant training programmes for farmers and agricultural input retailtion. The Malabo Declaration includes commitments to, by 2025, end hunger; ers. A hub agro-dealer model has been at least double productivity levels; and developed by the African Fertilizer and bring down child stunting to 10 perAgribusiness Partnership (AFAP) in order to consolidate the input supply chain. cent and underweight to 5 percent3. This model can ensure constant availHealthy, fertile soils are essential to meet this agricultural productivity chalability of adequate fertilizers, improved seeds and crop protection products, and lenge in Africa. knowledge about how to use the right One area that needs urgent attention is input source, at the right rate, at the the low use of fertilizers by smallholder right time, and in the right place. Using farmers in Sub-Saharan Africa. Fertilizer

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IFA news

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Africa Forum meeting, Ethiopia

a “hub-and-spoke” approach, inputs and extension advice can also be disseminated in rural areas at lower prices. Another initiative, the Africa Fertilizer Volunteer Program6, which is currently being spearheaded by IFA and AFAP, supports global fertilizer experts who volunteer their time and knowledge to help smallholder farmers obtain better access to fertilizers while building a more reliable agricultural value chain. Africa’s population is predicted to increase by 1 billion by 2030. African countries are at a critical moment in their development trajectories. They could see crop production soar and economic growth skyrocket. Paying close attention to the agricultural sector – Including the importance of healthy soils – can enable the continent to unlock its potential7 and thus provide a prosperous and sustainable future for all Africans.

International Year of Soils: www.fao. org/globalsoilpartnership/iys-2015/en/ 2 CAADP is a programme of the African Union in the New Partnership for Africa’s Development (NEPAD): www.caadp.net. 3 Synthesis of the Malabo Declaration on African Agriculture and CAADP: www.nepad.org/sites/default/files/Malabo%20Synthesis_English.pdf 4 wcfia.harvard.edu/publications/africasorganic-farms 5 www.nepad.org/foodsecurity/knowledge/doc/1815/abuja-declaration-fertilizer-african-green-revolution. 6 www.afap-partnership.org 7 www.farmingfirst.org/africanag/ 1

Prof. Richard Mkandawire is a socioeconomist and a rural development expert. He is currently Vice President of the African Fertilizer and Agribusiness Partnership (AFAP).

Managing Water and Fertilizer for Sustainable Agricultural Intensification

The meeting of the IFA Africa Forum, held on 18 February in Addis Ababa during the Argus FMB Africa Fertilizer conference, gathered about 40 industry delegates. This record participation illustrates growing interest of the industry for Sub-Saharan Africa, the fastest growing region in relative terms in recent years. Patrick Heffer, IFA, also met smallholder farmers involved in the IFA-sponsored project on maize fertilization in Ethiopia implemented by IPNI in order to better understand their expectations, especially in the context of Ethiopia’s policy shift from urea and DAP to bulk blends including the main limiting nutrients (N, P, K, S, Zn and B). Also on 18 February AFAP and IFA launched a video on the Africa Fertilizer Volunteers Program. We encourage you to view this video based on interviews, which highlight the benefits of the program to build a vibrant fertilizer value chain in Sub-Saharan Africa, which is expected to ultimately improve smallholders’ access to fertilizers and, in turn, farming productivity and profitability in the region. Should your company/organization be interested in either sharing expertise or sponsoring the program, please contact Sheila Keino, AFAP, at info@afap-partnership.org and/or Patrick Heffer, IFA, at pheffer@fertilizer.org. https://www.youtube.com/ watch?v=yutZkV6d2ow

Fertilizer Use in Sub-Saharan Africa. How Far Are We from the Abuja Target?

4-page executive summary brochure, April 2015. www.fertilizer.org/Library

IFA, Fertilizer Facts, March 2015. www.fertilizer.org/en/Knowledge_ Resources/Library/Selection_Fertilizer_ Facts.aspx.

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ENTERING 2015 WITH SHIFTS IN ENERGY MARKETS

What are the possible implications for the fertilizer industry?

by Michel Prudhomme, IFA

n late February 2015, the IFA Production and International Trade (PIT) Service carried out a webinar for IFA members. The 45-minute webinar offered key insights into recent significant shifts in the oil market; the outlook for the future; the oil market’s impacts on natural gas markets; and potential implications for the fertilizer industry. Three panelists took part: John Baffes, Senior Economist, Development Prospects Group, at the World Bank; Dimitrios Dimitriou, Senior Consultant, Energy & Chemicals Advisory at Nexant (UK); and Michel Prud’homme, Senior Director PIT at IFA. The abrupt 55% drop in oil prices since September 2014 paved the way for a significant correction in energy prices, including of natural gas delivered by pipeline or liquefied natural gas (LNG) cargoes. The oil prices collapse was due to a combination of factors, which included a glut in supply and geopolitical tensions. According to John Baffes, market reactions led to a considerable decline in exploration and drilling activities, cost reduction measures by major oil companies, and delays in new exploration projects. The World Bank has predicted that oil prices would average US$ 53/bbl in 2015 and US$ 57/bbl in 2016. It expects declines in both European natu-

ral gas and Asian LNG prices. Fertilizer markets will be affected by lower energy prices. As pointed out by Dimitrios Dimitriou, the primary drivers of fertilizer prices are a combination of the costs of raw materials and the supply/demand balance of the market. Downward movements in crude oil prices would result in lower costs of nitrogen production and delivered costs through lower raw materials, utility and freight costs. There are still significant disparities in global natural gas prices, as European contract gas prices remain coupled to those of oil. Fluctuations in oil prices impact the costs of European and Near East Asia (NEA) producers, with a time lag of a few months. History shows nitrogen prices would generally track energy prices, but the market fundamentals of supply and demand conditions remain the prominent factors. The assessment of the IFA Secretariat was that energy prices influence the prices of inputs (fuel, nitrogen fertilizers, crop protection chemicals) and, therefore, would affect the costs of crop production and dictate crops’ bottom prices. Agricultural commodities used as feedstock to produce biofuels will be negatively affected in a low oil-pricing environment. The relationship between

oil prices and crop prices is not linear. Differences between the two are often explained by weather conditions, harvest conditions, and inventories in the main producing and exporting countries: there is no significant impact on fertilizer demand when fuel and crop prices are both declining. A less favourable context, notably related to low crop prices and ample stocks, may lead to reduced fertilizer demand for phosphorous (P) and potassium (K) by half a percentage point in the short term, suggesting global fertilizer nutrient consumption at 186.5 Mt, representing 1.5 percent growth over 2014. In the short term, the fertilizer industry would benefit from lower feedstock and shipping costs, associated with some potential upswing in demand related to slightly higher global GDP growth. As regards project investments, IFA foresees little effect in the nitrogen fertilizer segment, but tighter access to capital could reduce financing attractiveness. Download the powerpoint presentation and other fertilizer market outlook publications on IFA's website at: www.fertilizer.org/MarketOutlooks

ICIS-IFA global fertilizer trade map 2015

To order copies: www.fertilizer.org/GlobalFertilizerTradeMap

May 2015

Yara Brunsbüttel wins the IFA 2015 Green Leaf Award for SHE Excellence

FA presented its 2015 Green Leaf Award for Safety, Health and Environment (SHE) Excellence to Yara Brunsbüttel, Germany, at the Global Safety Summit in Vancouver, Canada, on 24 March. “Winning the IFA Green Leaf Award is a fantastic achievement and an acknowledgment of the hard work and dedication of all the employees at Yara Brunsbüttel”, says Jan-Petter Fossum, Head of Yara HESQ. “The prize is welldeserved and should be an inspiration to others” he adds. The trophy and a certificate were jointly awarded to former Brunsbüttel Plant Manager, Jacky de Letter and Production Manager Sven Kohnke, by IFA President Esin Mete and Jim Prokopanko, Chairman of IFA’s Technical & SHE Committee. Yara’s Green Leaf Award application was based on a recent environmental project that allows the plant to run either on heavy fuel oil or natural gas, thereby reducing greenhouse gas emissions (CO2) dramatically. Total emissions reductions achieved 30 percent CO2, 70 percent SO2 and 90 percent NOx.

1st Runner up: ICL Rotem Jim Prokopanko, Yakov Kahlon and Yigal Levi (ICL Fertilizers), Esin Mete

2nd Runner up: IFFCO Phulpur Jim Prokopanko, Sri Mukul Srivastava (IFFCO), Esin Mete

(From left to right) Jim Prokopanko, Chairman IFA Technical & SHE Committee; Jacky de Letter and Sven Kohnke, Yara Brunsbüttel; Esin Mete, IFA President Yara Brunsbüttel produces ammonia and urea. The 224 employees and 29 apprentices at the plant work consistently towards the “Zero Accidents” top priority. www.yara.com/media/news_archive/ yara_brunsbuttel_wins_the_ifa_green_ leaf_award.aspx The 2015 ceremony also recognized first runner up ICL Rotem, Israel, and second runner up IFFCO Phulpur, India, as well as Qafco, Qatar, the 2013 Green Leaf Award winner who scored again the highest number of points out of competition, and Shriram Fertilisers & Chemicals, India, for the best progression over the last two years. Every two years, the IFA Green Leaf Award recognizes outstanding SHE performance in fertilizer production among the Association’s membership. The Award forms an integral part of IFA’s Protect & Sustain product stewardship initiative. Product stewardship is in many respects an increasingly important component in fertilizer producers’ SHE management strategy – namely, a strategy promoting solid management of safety, health, environmental and security aspects up and down the supply chain.

www.fertilizer.org/ IFAGreenLeafAward

IFA launches global Hard Hat Campaign In order to promote safety in the fertilizer industry, IFA is launching a global Hard Hat Campaign. Its goal is to produce a poster and an animation for the membership by year-end. This initiative was recently kicked off by IFA’s Executive Board with CEOs from around the world wearing hard hats. Today, everybody is invited to follow their example. Participating is simple: just take a “selfie” or select an existing photo of yourself wearing a hard hat, email it to Sophie Palmie at spalmie@fertilizer.org, and it will be added to IFA’s Instagram album. Please help us spread the word about this campaign to your colleagues. Thank you for your support! https://instagram.com/ifa_hardhat

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The Global Partnership on Nutrient Management The resulting socio-economic impacts are large, from financial losses for farmers to reduction of the commercial productivity of coastal fisheries to contamination of water supplies. The “nutrient challenge” has been gaining attention as a key global sustainable development issue. This challenge is of a multidimensional nature. It needs to be addressed through effective public-private partnerships: a marriage between good public sector policy, which aims to safeguard people and the environment, and private sector objectives related to the supply of nutrients, and related services and advice, needed by farmers to grow enough quality food for the world population. The Global Partnership on Nutrient Management (GPNM) offers a global forum for educating and advocating to member countries, industry and NGOs about nutrient issues and developing networks to share science-based policies and practices. The Partnership gives particular consideration to countries that lack access to fertilizers and other nutrients, as part of its food security mission, and to the sustainable use of nutrients from such sources as livestock production as well as fertilizer. IFA is a founding member of GPNM, which was launched in 2009 by the governments of the Netherlands and the United States, and the European Union, along with the Food and Agricultural Organization (FAO) of the United Nations and the United Nations Environment Programme (UNEP) Global Programme of Action (GPA) for the Protection of the Marine Environment from Land-based

Activities (UNEP/GPA). The GPA serves as the GPNM Secretariat. GPNM is governed by a 14-member steering committee composed of the International Fertilizer Industry Association (IFA); the International Fertilizer Development Center (IFDC); the International Nitrogen Initiative (INI); the International Plant Nutrient Institute (IPNI); FAO; the UN Development Programme (UNDP); UNEP; the National Centre for Sustainable Coastal Management, Ministry of Environment and Forests for the Government of India; the Chilika Development Authority (CDA) of the Government of Odisha in India; the India Nitrogen Group (ING); the ChinaUnited Kingdom Sustainable Agriculture Innovation Network (SAIN); China Agricultural University (CAU) in Beijing; UN-Habitat; and the governments of the Netherlands and the United States, including the US Environmental Protection Agency (US EPA), the US National Oceanic and Atmospheric Administration (NOAA) and the US Department of Agriculture (USDA)1. GPNM takes a systemic approach to the nutrient challenge by including soil health, water, air, climate and biodiversity. It seeks mutual affiliations with such initiatives as the Global Soil Partnership and the emerging Global Alliance for Climate-Smart Agriculture. Attention is given to the policy, science and implementation signals of the UN conventions on climate change, biodiversity, and desertification. There are more than 500 bodies of water around the world that exhibit various degrees of hypoxic and eutrophic

characteristics due to nutrient runoff and loading of nutrients into fresh and coastal waters. This problem cannot be solved by the public sector alone. GPNM is emerging on the global scene as a unique public-private partnership to address the economic, environmental and social effects of intensifying food production. There are six GPNM task teams on policy, partnership, phosphorus, tools, nutrient use efficiency, and communications. GPNM is focused primarily on nitrogen and phosphorous, although interest is emerging in the area of micronutrients such as zinc and the necessary research and development for enhanced-efficiency fertilizers. New nitrogen and phosphorous recovery technologies are promising but costly. In 2012, UNEP secured a small amount of funding from the Global Environment Facility (GEF) to increase GPNM’s capacity to organize the science, build networks to influence policy, and deliver practical information to farmers by: • enhancing scientific understanding to assess nutrient loading • creating a policy and practice toolbox • applying the products at three pilot sites: Chilika Lake in India, and Manila Bay and Laguna de Bay in the Philippines • forming regional nutrient management platforms. The assessment research is based on the Nutrient Export from Watersheds (NEWS) model of effluent loading. A significant output of the GEF project is the Chilika Lake Report Card2, which is being adapted for application at Laguna de Bay. The policy and practice toolbox is in draft form and is ready to be tested in workshops for policy makers, extension personnel and farmers in both India and the Philippines. cont’d on page 12

May 2015ď ź

IFA/FAI Seminar on Sustainable Fertilizer Management for Soil Health

FA and the Fertiliser Association of India (FAI) co-organized the India Seminar on Sustainable Fertilizer Management for Soil Health from 16 to 17 March in New Delhi, India. This event gathered some 200 delegates representing governmental bodies, scientific organizations, farmers associations and the fertilizer industry. The seminar was inaugurated by Siraj Hussain, Secretary, Department of Agriculture and Cooperation, Esin Mete, President of IFA, and Evelyn Nguleka, Chairwoman of the World Farmers Organization (WFO). The programme was organized along five thematic sessions addressing fertilizer subsidies, best management practices, enhanced-efficiency fertilizers, outreach to farmers, and priorities for action. Two issues were paid particular

(Top) Esin Mete, IFA President (Bottom) Patrick Heffer and Charlotte Hebebrand, IFA

attention during the seminar: the urgent need to (i) reform the Indian fertilizer subsidy policy for improving crop productivity, while maintaining soil health and reducing nutrient losses to the environment and (ii) put much greater emphasis on the importance of maintaining or enhancing soil health in order to preserve the production potential of Indian agricultural soils. This last point is particularly relevant in the context of the current International Year of Soils. The presentations are available online at www.fertilizer.org//En/Knowledge_ Resources/Library/Agriculture_Publications1.aspx, and the main conclusions and recommendations arising from the seminar will be posted in short on this page.

IFA events 2015 IFA

Production and International Trade Conference*

Production & International 21-23 September, Florida, USA (Venue to be confirmed) Trade Conference This event offers an excellent opportunity to interact with senior executives from major international fertilizer producers and trading companies. A special emphasis will be placed on supply-related issues.

Crossroads Asia-Pacific 20-22 October, Kuala Lumpur, Malaysia Focusing on the pivotal Asian region and Pacific basin, IFA's Crossroads Asia-Pacific is an extremely popular event, with some 400 participants in attendance. This event is organized under the guidance of the Regional Vice Presidents for all members with an interest in Asia and the Pacific as well as newcomers acquainting themselves with the Association in view of potential membership.

Strategic Forum* 18-19 November, Paris, France IFAâ&#x20AC;&#x2122;s Strategic Forum is the second General Meeting of the Association of the year, dedicated to strategic discussions on the main opportunities and challenges facing the global fertilizer industry. IFA members also convene to review the associationâ&#x20AC;&#x2122;s strategic plan, work programme and budget.

IFA/IFDC Nitrogen Fertilizer Production Technology Workshop 25-26 June 2015, Vienna, Austria IFA/IFDC Phosphate Fertilizer Production Technology 5-9 October 2015, Berlin, Germany www.ifdc.org/training/2015-training-programs-(1) *

Restricted to IFA member companies

More information on upcoming events:

www.fertilizer.org/ifaevents

12  fertilizers && agriculture agriculture 12 fertilizers

cont’d from page 10

The Global Partnership on Nutrient Management

Regional platforms have taken shape in Asia, Africa and the Caribbean. The 2013 GPNM/International Nitrogen Initiative (INI) publication Our Nutrient World3 summarizes the science and includes ten institutional recommendations. A new GEF proposal being finalized by INI (one of the GPNM partners) will target research towards an International Nitrogen Management System. GPNM has a keen interest in encouraging extension and rural advisory services to deliver science-based information to smallholder farmers on the effective and efficient use of fertilizers. The use of information and communication technologies (ICT) such as cell phones, as well as call-in centres, is promising. In 2012, over 75 countries participated in an intergovernmental review of GPA and signed the Manila Declaration4 to support GPNM and two other partnerships on wastewater and marine litter. Through the Manila Declaration, governments have acknowledged the need to improve nutrient use efficiency (NUE). The development of consensus around the definition of NUE and performance indicators is currently being finalized by the GPNM task team led by IPNI. The consensus position paper will be most useful for both the UN post-2015

Sustainable Development Goals (SDGs) negotiations and the upcoming GPA intergovernmental review. Governments may consider regulation to be the way to meet the nutrient challenge. This could be costly to the industry and, in turn, could affect the global economy. A better approach might be to develop public-private partnerships and offer proactive solutions by: • supporting and participating in the relevant GPNM regional platforms • serving on one of the GPNM task teams mentioned above • sponsoring research on, and development of, new kinds of fertilizer products tailored to a region’s geophysical and climatic conditions • supporting the notion of changing practices in developed countries, such as reducing autumn applications, using cover crops and applying nutrient use efficiency measures • training of dealerships and extension personnel to make science-based sustainable management practices, based on the 4Rs (applying the right nutrient source at the right rate, at the right time, in the right place)5, available to smallholder farmers • partnering with farmers’ organizations and NGOs at the local, regional and global levels to offer extension and rural advisory services aimed at making nutrient use more efficient and effective. The fertilizer value chain has an important role to play in addressing nutrient use efficiency and effectiveness for sustainable food intensification and the reduction of nutrient losses to the environment. Use of the 4R strategy is commendable and promising, but deeper commitment is needed from both the public and private sectors to improve nutrient management performance. _____________________________ 1 List of GPNM partners, http://nutrientchallenge.org/partner-directory 2 Chilika Lake Report Card http://ian.umces.edu/pdfs/ian_report_card_425.pdf 3 Sutton, M.A. et al., Our Nutrient World. The challenge to produce more food and energy with less pollution, www.initrogen.org/sites/default/files/ documents/files/ONW.pdf

The Manila Declaration on Furthering the Implementation of the Global Programme of Action for the Protection of the Marine Environment from Land-based Activities. 5 4R nutrient stewardship www.fertilizer.org/NutrientStewardship 4

Dr. Greg Crosby is Chair of the Global Partnership on Nutrient Management, and National Program Leader for Sustainable Development, United States Department of Agriculture (USDA), National Institute of Food and Agriculture.

Contact GPNM Secretariat Dr. Christopher Cox Programme Officer, UNEP/GPA Christopher.Cox@unep.org www.nutrientchallenge.org www.unep.org/gpa

International Fertilizer Industry Association 28, rue Marbeuf, 75008 Paris, France Tel: +33 1 53 93 05 00 Fax: +33 1 53 93 05 45/47 ifa@fertilizer.org www.fertilizer.org @FertilizerNews! Fertilizers & Agriculture is a quarterly newsletter published by IFA covering issues in relation to fertilizers and sustainable agriculture. Mailing list Subscription to Fertilizers & Agriculture is free of charge. To receive a hard copy, send full address details to be added to the mailing list. Additional copies may be supplied to organizations to circulate on behalf of IFA. To consult current and past issues of Fertilizers & Agriculture: www.fertilizer.org/newsletters Contributions We invite your contributions of letters, documents, articles, photographs, etc. Director General of IFA: Charlotte Hebebrand Editor-in-Chief: Claudine Aholou-Pütz Material in F&A may be reproduced only after prior consent by IFA. Reference to individuals, publications, research, products, companies or organizations does not indicate endorsement by IFA. For information on IFA’s activities:www.fertilizer.org © International Fertilizer Industry Association 2015 Printed with vegetable-based ink by Point44 on paper from sustainably managed forests.