Collapse? There Goes Ammonia and Nitrogen-Based Fertilizer

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Ludwigshafen, Germany – January 2022: BASF SE, a German multinational chemical company and largest chemical producer in the world

Germany’s BASF, the world’s largest chemical company, is cutting ammonia production further due to soaring natural gas prices, it said on Wednesday, with potential ramifications from farming to fizzy drinks, Reuters reports.

It will reduce access to fertilizers and bring up the costs during the manufactured natural gas crisis.

Germany’s biggest ammonia maker SKW Piesteritz and number four Ineos also said they could not rule out production cuts as the country grapples with disruption to Russian gas supplies.

Ammonia is used in fertilizers – the ones that actually work – and the Green agenda demands their abolition. One of the byproducts is CO2, now falsely alleged to be a poison.

BASF would purchase some ammonia from external suppliers to fill gaps but warned farmers would face soaring fertilizer costs next year.

The Russia-Ukraine war added to the problem.

Chemical companies are the biggest industrial natural-gas users in Germany and ammonia is the single most gas-intensive product within that industry. They will be seriously damaged.

BASF is forced to pay more for what they can get while also drastically cutting production.

BASF reportedly had to pay an additional 800 million euros (about $809.5 million) in the second quarter compared to a year earlier while slashing output of ammonia, which requires large amounts of gas in order to produce.

“We are reducing production at facilities that require large volumes of natural gas, such as ammonia plants,” announced BASF chief executive Martin Brudermuller in a conference call following an earnings report.

The news of BASF reducing ammonia production because of soaring NatGas prices comes as Russian state-owned energy producer Gazprom PJSC halves supplies via Nord Stream 1 to Europe to about 20%. EU member states agreed Tuesday to reduce NatGas demand by 15% over the next eight months, though countries like Germany, without any liquefied natural gas (LNG) port terminals to replace Russian pipeline NatGas, might have to make more considerable sacrifices.

The sanctions are seriously harming the West and not destroying Russia as they allegedly hoped. Maybe the Western rulers want to destroy the West.


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