OCP to challenge Mosaic petition on anti-competitive practices

Morocco’s phosphates producer OCP group said it will challenge a petition filed by its competitor Mosaic aiming to impose anti-subsidy duties on OCP’s fertilizers exports.

OCP has said in a statement that since receiving this petition, it has cooperated with the American authorities, who are evaluating whether the petition warrants investigation, and will challenge the “flawed” allegations.

The Group said it “operates in full compliance with all relevant laws and treaty obligations in relation to all sales of its products in the US market. In line with its mission and core values, the Group remains committed to all its customers and to continuing to serve the needs of farmers in the US as well as globally.”

The OCP, which sold last year $727 mln worth of phosphates fertilizers in the US, stressed it does not receive any form of subsidies from the government.

An OCP source told Reuters that the company may unfortunately leave the US fertilizers market in case a countervailing duty, adding that the OCP will be able to redirect its sales to other markets.

On June 26, Mosaic claimed that large volumes of “unfairly subsidized imports” from Morocco and Russia are harming its fertilizer operations and causing “distortions” in the US phosphates market.

In 2019, OCP’s fertilizer exports hit 9 million tons, including 1.8 million ts to Africa or 58% of total fertilizers sold on the continent.

Low international prices however incurred a 3% drop in revenue to $5.5 bln in 2019.

Leave a Reply

Your email address will not be published.

11 + 15 =

WP2Social Auto Publish Powered By : XYZScripts.com