Recommendation 10

Nitrogen fertiliser plays a critical role in UK food security, and the production of ammonia used in it creates large amounts of carbon dioxide gas as a by-product which is vital for the food supply chain. There is only one plant remaining in the UK, which is currently using imported ammonia. This reliance on a single nitrogen fertiliser plant increases the risks to the UK’s food security. The lack of CO2 by- product has caused UK prices to increase markedly at a time when there are already considerable price pressures on the sector. While we welcome the establishment of the Fertiliser Industry Taskforce, the Government has not set out the steps it will take to protect domestic production of nitrogen fertiliser and ammonia used in it. Given the importance of nitrogen fertiliser to UK food production and food security, the Government should set out how it will ensure its continued production in the UK, including the resumption of ammonia production to help support CO2 supplies. Looking ahead, the Government should take steps to support the increased production of nitrogen fertiliser in the UK, and in so doing examine the incentives offered by our competitors. The Government should produce an action plan addressing these points within 6 months of the publication of this Report.