Fertilizer market

The product portfolio in the fertilizer segment at Zakłady Chemiczne "POLICE" SA consists of:

  • multicomponent fertilizers manufactured on the basis of ammonium phosphate and ammonium sulphate as well as pure high-grade potassium salts (chloride or sulphate) and magnesium of very good quality. The production takes place on the basis of technologies of Fissons and Dorr-Olivier companies
  • urea nitrogenous fertilizer that is synthesized in reaction of ammonia with carbon dioxide

Zakłady Chemiczne "POLICE" SA is a definite leader in the segment of multicomponent fertilizers.

 

The sector of mineral fertilizers includes:

  • segment of simple fertilizers, i.e.:
    • nitrogenous (urea, ammonium nitrate, nitro-chalk, ammonium sulphate);
    • phosphatic (single superphosphate - SSP, double superphosphate - DSP and triple superphosphate - TSP);
    • Zpotassic (potassium salts).
  •  segment multicomponent fertilizers (NP, PK, NPK, NK), including complex fertilizers and mixes.

The domestic market of nitrogenous fertilizers has got the annual production capacities of approximately 1.700.000 tonnes N, which is sufficient not only to cover the needs of the domestic market but it also enables export sales.
However, the domestic production capacities in the scope of phosphatic fertilizers and multicomponent fertilizers are approximately 700.000 tonnes per year of P2O5 and they significantly exceed the domestic use (approximately 430 thousand tonnes per year).

Over the recent years the structure of fertilizer use in the Western Europe has not been subject to almost any changes. Simple fertilizers make approximately 53% but particular emphasis is also put on application of multicomponent fertilizers. Their participation in the usage structure may be estimated at the level of approximately 47%. This result from the tendency of farmers to use high quality fertilizers as they provide almost all the necessary nutrients simultaneously. In the Polish agriculture, the structure of fertilizer use is as follows: 66% - simple fertilizers and only 34% - multicomponent fertilizers. The structure and the level of fertilizing noted at present depart significantly from the nutritional needs of plants. Use of fertilizers far from optimum is the factor that unambiguously limits harvests, and thus profitability of the agricultural production. Relatively low demand for fertilizers results, first of all, from difficult financial situation of the Polish farms. A real hope for increase of the level of fertilizer use is given by the structural and economic changes observed after the accession to the EU. Increase of the average area of farms (consolidation), subventions, greater and greater productivity and intensification and growing use of fertilizers cause adaptation of the fertilizer use structure in the Polish agriculture to the Western European model. Since the beginning of the 90?s, use of mineral fertilizers in Poland has been growing, although very slowly and with fluctuations. In 2000-2003 it was at the level of 91-93 kg of NPK per 1 ha of arable lands. In the economic year of 2004/2005 the use was 102.4 kg of NPK per 1 ha (calculated according to new principles). Generally, the shape of the Polish fertilizer market is decided by the domestic production (approximately 2/3 of consumption). The levels of import and export are, however, close and they make approximately 1/3 of the domestic use.