Fertilizer Could Gain In Russia

Avatar for Matt Hopkins By Scott C. Lucas|22 November 2006

Olga Belenkaya, an investment economist for the FINAM Co., discussed the prospects and problems of Russian agricultural complex development tied to Russia’s joining the WTO with Russian news service REGNUM. Belenkaya said that Russia’s WTO membership, which took a step forward after Russia signed a treaty with the US on its procedure for joining, could positively affect fertilizer producers.

According to Belenkaya, Russian export companies which suffer from anti-dumping measures in WTO members states (mainly producers of chemical fertilizers) may potentially profit if Russia joins the WTO. Additionally, joining the WTO should theoretically lead to decrease of foreign commerce barriers and facilitate access for foreign goods and services to the domestic market; consumers are to win because of that, Belenkaya said.

One of the losers in the situation could be the Russian meat industry, which would be forced to compete with low-priced foreign supplies, Belenkaya said.