By Philip Blenkinsop
BRUSSELS (Reuters) -The European Parliament voted on Thursday to impose prohibitive tariffs on fertilisers and certain farm produce from Russia and its ally Belarus to prevent a potential threat to EU food security and limit Russian funds for its war against Ukraine.
Tariffs for certain nitrogen-based fertilisers will rise over three years from 6.5% to an amount equivalent to about 100%, a level that would effectively halt trade. For the farm produce, an additional 50% duty will apply.
The tariff hikes are expected to take effect on July 1.
More than 70% of EU fertiliser consumption in 2023 was of the nitrogen-based product targeted, and Russia accounted for 25% of EU imports, worth about 1.3 billion euros ($1.5 billion).
Kremlin spokesman Dmitry Peskov said in reaction that if the EU imposed huge tariffs on Russian nitrogen fertilisers, the cost of the fertilisers for the European Union would rise and their quality would fall.
He said demand for Russian nitrogen fertilisers on other export routes remained high, adding that Russian fertilisers were of the highest quality.
Russian and Belarus grain was already hit with prohibitive tariffs last year. The new tariffs apply to the 15% of agriculture imports from Russia not previously subject to duties, worth 380 million euros. This includes meat, dairy produce, fruit and vegetables.
The European Commission said these imports, particularly of fertilisers, made the EU vulnerable to potential coercive actions by Russia that could threaten EU food security.
EU imports from Belarus were more limited at 92 million euros for farm produce and 30 million euros for fertilisers in 2023.
The European Commission has said the tariffs will help support domestic production and allow for diversification of supply from elsewhere.
The change to a higher fertiliser tariff includes potential mitigation measures if EU farmers see substantial price increases.
The levies will not affect transit of Russian agricultural and fertiliser exports to third countries. The EU has so far avoided imposing sanctions on them so as not to disturb global supplies, particularly to developing countries.
The European Parliament approved the hikes by 411 votes to 100, with 78 abstentions.
($1 = 0.8835 euros)
(Reporting by Philip Blenkinsop and Bart Meijer)
