Brazil’s Foreign Trade Secretariat (Secex) launched an anti-dumping investigation into imports of phosphoric acid from Morocco, China, and Mexico, according to reports by Brazilian media.
The inquiry aims to determine whether exporters from these countries have been engaging in unfair pricing practices that harm local industries.
The investigation will analyze data from April 2023 to March 2024, while a broader evaluation of potential market damage will cover the period from April 2019 to March 2024.
Phosphoric acid, particularly in its food-grade form, is a vital input for industries such as food processing and pharmaceuticals, making it a key component under Brazil’s import portfolio.
Morocco’s OCP Group, a major player in the global fertilizer market, ranked as Brazil’s third-largest fertilizer supplier as of June 2023, according to the Brazilian Institute of Geography and Statistics (IBGE). OCP’s exports to Brazil reached USD 147 million during this period, a year-on-year increase of over 50%.
In Brazil, OCP Group operates two subsidiaries, “OCP Brasil” and “OCP Fertilizantes,” and holds a 10.5% stake in “Fertilizantes Heringer,” the country’s third-largest fertilizer distributor.
The outcome of the investigation could significantly impact Morocco’s OCP Group, potentially influencing its pivotal role in bolstering Brazil’s agricultural sector.