Brazil imports more than 90% of the fertilizers consumed by its agricultural sector, totaling approximately 50 million tonnes of NPK fertilizers annually. The country currently purchases urea from geographically distant suppliers including Canada, Russia, China, Belarus and the United States. Oliveira Soares stated that recent price volatility forced Brazil to seek alternative suppliers in Nigeria, Angola and China when domestic urea prices became commercially unsustainable during geopolitical disruptions.
Argentina currently imports between 60% and 70% of consumed fertilizers, with total 2025 consumption reaching 5.1 million tonnes, of which 4.1 million tonnes were imported. Approximately 2.1 million tonnes of those imports consisted of urea. Profertil’s existing Bahía Blanca plant produces 1.3 million tonnes of urea annually and approximately 790,000 tonnes of ammonia, insufficient to meet domestic demand.
Sergio Iraeta, Argentina’s agriculture secretary, confirmed the country possesses sufficient Vaca Muerta natural gas resources to produce domestic urea requirements plus exportable surplus for Brazil. The gas availability creates competitive production economics compared to Brazil’s current import sources. Oliveira Soares emphasized that Brazil consumes approximately 16 million tonnes of potassium annually, currently sourced from Russia and Belarus, and identified Argentina’s Colorado River region resources in Mendoza and Neuquén as potential alternative supply points.
The commercial relationship carries strategic significance beyond fertilizers. Brazil’s agricultural sector generated $169 billion in exports during 2025 and represents 28% of Brazilian GDP while employing 38 million people. Securing proximate fertilizer sources reduces exposure to international price shocks and maritime logistics vulnerabilities that characterized recent supply chain disruptions.
This article was curated and published as part of our South American energy market coverage.
