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ASEAN Fertilizers to tackle supply, climate challenges

  • : Agriculture, Fertilizers
  • 26/10/14

Fertilizer producers in southeast Asia are moving to establish a regional industry body as the sector faces down geopolitical disruption, raw material constraints, climate change and food security concerns.

The proposed body — ASEAN Fertilizers, initially floated as the Southeast Asia Fertilizer Association at April's Argus Fertilizer Asia Conference in Indonesia — aims to provide a unified voice, promote producer collaboration and reinforce supply chains.

The group is seeking formal ASEAN recognition and plans to expand membership to producers across the region, Brunei Fertilizer Industries' chief executive, Harri Kiiski, said at the IFA Crossroads 2026 conference in Chiang Mai, Thailand, today.

This initiative is now especially important as producers grapple with an increasingly complex market. The disruption in the Middle East has highlighted Asia's exposure to supply chain risks, particularly dependence on imports of raw materials such as sulphur, a key feedstock for phosphate fertilizers, trading firm Hexagon Group's president, Christian Wendel, said during a panel discussion.

The disruption has also accentuated policymakers' food security concerns. The impact of the disruption was amplified by trade restrictions and reduced exports from some countries. Greater production capacity is needed elsewhere in the region to strengthen supply security, but limited access to feedstocks, energy and investment continues to hold up projects, delegates agreed.

"We need more production in Asia — particularly outside China," Wendel said, noting that southeast Asia remains heavily reliant on China for fertilizers.

An ageing farming population also poses a challenge. The average age of rice farmers in several Asian countries continues to rise, increasing the need for new technology, training and support for younger growers.

While younger farmers are generally more open to adopting drones, precision agriculture and other digital technologies that can improve nutrient efficiency and productivity, industry leaders warned that climate change is likely to create additional challenges through more extreme and unpredictable weather.

ASEAN Fertilizers could play an important role in co-ordinating industry efforts, supporting innovation and helping the region navigate supply, sustainability and food security challenges, industry leaders said.


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