Invertia Fertiberia will resume production on the 8th in Palos (Huelva) "at a loss" after two months of stoppage
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The Fertiberia plant in Palos de la Frontera (Huelva) will once again produce fertilizers after more than two months stopped due to the extraordinary rise in the price of natural gas and the increase in the cost of electric power.
This is how they have transferred it to the workers after the Huelva plant has been idle for two months, in which the workforce has participated in training plans or maintenance tasks.
They have also used their vacations and free time in this period and security checks have been carried out in eight-hour shifts instead of 24 as usual. The workers have not had to take advantage of temporary employment regulation files (ERTE).
The shutdown was scheduled to last approximately two months and it will finally be next Wednesday, December 8, when production will start up. Despite this, the company will assume "losses" due to the still high price of gas, as union sources have explained to EL ESPAÑOL-Invertia.
The reason that will lead Fertiberia to resume its production is "to avoid market shortages." This decision has already been communicated to the workforce.
At first, Fertiberia decided to stop for a month and, a little later, they had to extend it until the end of November. In total, the Palos plant will be out of production for two months and a week.
The cost of gas made the losses unsustainable. From May to October 2021, the price of gas increased by 250% and if compared to September of last year, the increase was 580%, according to reports from Fertiberia to this medium.
The Palos factory uses natural gas as raw material, since it produces ammonia and urea. The increase in the price of this energy source made its activity "unfeasible" during these two months with the prices of fertilizers in the international market.
Fertiberia, which manufactures fertilizers and fertilizers for agriculture and other products such as industrial chemicals, has 13 production centers in Spain, Portugal and France. The Palos plant has been particularly affected because its raw material is natural gas, while others such as Sagunto depend to a greater extent on ammonia.
50% in Puertollano
The consequences of inflation were also felt at the Puertollano plant, where a previously scheduled technical shutdown had to be extended and production resumed at fifty%.
"There are times when it is above 50%, but in no case does it reach 100%," the CC secretary explained to this newspaper. oo. Industry in Ciudad Real, David Vera. The start in Ciudad Real is being more staggered than usual after the scheduled stops
More spending for farmers
This increase in the price of inputs affects the final cost of fertilizers. Coupled with the increase in electricity and fuel bills, this was one of the reasons that led farmers from all over Spain to demonstrate in Madrid a few days ago.
In fact, they demanded fiscal measures for the deduction of the non-depreciable fertilizer and plastic invoice. According to data from UPA, buying phytosanitary products now costs between 7% and 40% more.
Archive image of a field during the work of irrigating the crops.
The Spanish countryside demanded that the Spanish Government meet with the fertilizer producers to guarantee the supply and to avoid "speculation" and "inflation" of their costs.
This company is not the only one that had to stop production due to the high cost of raw materials. For this reason, the European employers' association of the sector, Fertilizers Europe, warned that this situation would give rise to a lower production of fertilizers in Europe.
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