In Lithuania, Achema will completely suspend production due to high gas prices

In Lithuania, Achema will completely suspend production due to high gas prices

On September 1, 2022, Lithuanian nitrogen fertilizer producer Achema will close its factory completely due to the increase in natural gas prices and therefore the uncontrolled increase in production costs. It is currently operating at partial capacity.

“The historically high prices of natural gas directly affect the cost of production. Our fertilizer prices are becoming uncompetitive compared to products from Russia and the United States. “In such a situation in the market, most Western nitrogen fertilizer producers are forced to shut down their plants and Achema is no exception,” said Ramūnas Miliauskas, CEO of Achema.

Achema is the only company in Lithuania producing nitrogen fertilizers – carbamide, ammonium and calcium ammonium nitrate. It is also the largest natural gas consumer in the country.

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