An overview of fertilizer situation in the context of food crises
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An overview of fertilizer situation in the context of food crises. Market friendly ways to address fertilizer access by farmers. World fertilizer prices. Outlook.

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An overview of fertilizer situation in the context of food crises l.jpg

An overview of fertilizer situation in the context of food crises

Market friendly ways to address fertilizer access by farmers



Outlook l.jpg
Outlook crises

  • Fertilizer prices cannot be expected to fall until a new investment cycle reaches fruition and supply again matches demand. Even then, after 3 or 4 years, nitrogen fertilizer prices will remain high if the energy prices continue to hover at their current level.

  • Similarly, phosphate fertilizers, particularly diammonium phosphate (DAP), will remain high due to higher costs of quality phosphate rock and sulfur.


Grain prices l.jpg
Grain prices crises




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Intervention strategy 2005/06 (kg/ha

  • Farmers access to improved seed and fertilizer at affordable prices together with technology adoption, human capacity improvement, and access to trade credit provide the most rapid means of productivity response and supply chain development and are appropriate to this crisis situation.

  • Supply chain infrastructure investment in research, transportation, and services are also required but are longer term in nature.

  • The objective of any fertilizer crisis intervention should now be to attempt to at least maintain fertilizer use at previous levels while encouraging or at least not disrupting progress made toward competitive market system build over years with donors investment




Fertilizer requirements for kyrgyzstan 2008 in mt l.jpg
Fertilizer Requirements for Kyrgyzstan-2008 in Mt 2005/06 (kg/ha

2008 Requirements: 228,500

Breakdown by types of fertilizer:

  • Nitrogen- 133,000

  • Phosphate- 59,000

  • Potassium- 36,000

    Imported: 95,000 (41, 6% of needs)

    Negative balance: 133,500


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Sustainable land management 2005/06 (kg/ha

  • Sustainable land management can only be achieved through the judicious use of both organic and inorganic fertilizer materials.

  • Integrated Soil Fertility Management (ISFM) practices implemented by IFDC in different parts of the World has demonstrated that when smallholder farmers utilize locally available organic matter and apply sufficient plant nutrients in the form of mineral fertilizers, threefold increases in crop yields can be obtained in a cost-effective manner with value: cost ratios above 3.5 and farm incomes increased by 70%.


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www.ifdc.org 2005/06 (kg/ha

Integrated Soil Fertility Management: Effect of Integrated Use of Fertilizer and Soil Amendments Improves in Time

t/ha

  • ISFM

  • control

year







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Suggestions: Schemes

  • More investment (both short and long term) is needed by donors to address agri input shortage and further develop input markets

  • Food crises should not be considered out the context of long term agricultural development in Kyrgyzstan


Market friendly approaches to address fertilizer shortage in short term run vouchers l.jpg
Market friendly approaches to address fertilizer shortage in short term run-Vouchers

  • Input voucher programs are a pro-poor, market-friendly means of providing either direct “market-smart” subsidies or crop production credit to resource-poor farmers or ensuring emergency market recovery

  • Integral characteristics of voucher programs are the provision of technical assistance and training to both the recipient farmers and private sector agro-dealers and the targeting of voucher recipients.

  • The vouchers are not used just to supply free or subsidized fertilizer or other inputs


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Suggestion for long term investment in fertilizer sector short term run-Vouchers

  • Feasibility study in construction a Nitrogen fertilizer plant in southern Kyrgyzstan

  • Building a fertilizer blending facility (Blended fertilizer in addition to higher nutrient values is cheaper on nutrient basis)

  • Phosphate rock deposits (Studies and analysis done by IFDC)


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Thank you! short term run-Vouchers


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