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CBAM and Fertilisers: A Complete Guide for African Fertiliser Exporters

How the EU Carbon Border Adjustment Mechanism applies to fertiliser exports from Africa, covering ammonia, urea, nitric acid, and mixed fertilisers.

Published April 2026·Last updated April 2026·carbonborderadjustment.co.za

CBAM-Covered Fertiliser Products

The CBAM Regulation covers a specific list of fertiliser products under CN codes 28-31. The key covered products are:

  • Ammonia (NH₃): EU default 2.85 tCO₂/t
  • Nitric acid: EU default 1.47 tCO₂/t
  • Urea: EU default 2.31 tCO₂/t
  • Mixed nitrogen fertilisers (NPK, NP, NK, AN): Variable defaults

The Haber-Bosch Process and CBAM

The dominant source of embedded emissions in fertiliser production is the Haber-Bosch process — the synthesis of ammonia from nitrogen and hydrogen. The hydrogen feedstock is typically produced from natural gas (steam methane reforming), which generates approximately 1.6-2.0 tCO₂ per tonne of NH₃ produced.

African Fertiliser Producers

| Country | Key Producer | Feedstock | CBAM Exposure | |---|---|---|---| | South Africa | Omnia (Sasolburg) | Coal/gas | High | | Egypt | Abu Qir Fertilisers | Natural gas | Medium | | Morocco | OCP Group | Phosphate + gas | Medium | | Nigeria | Dangote Fertiliser | Natural gas | Medium |

The Green Hydrogen Opportunity

The most significant CBAM reduction strategy for African fertiliser producers is the transition to green hydrogen — hydrogen produced via electrolysis powered by renewable electricity. Green ammonia has embedded emissions of approximately 0.1-0.3 tCO₂/t (vs 2.85 tCO₂/t for conventional ammonia), reducing CBAM costs by over 90%.

Namibia and Morocco are both developing green hydrogen export projects that could supply green ammonia to EU fertiliser markets at a significant CBAM advantage.

South African Context

South Africa's Omnia Holdings produces ammonia at Sasolburg using coal-derived synthesis gas. With actual embedded emissions likely above the EU default of 2.85 tCO₂/t, Omnia faces a strategic choice: invest in green hydrogen transition or accept increasing CBAM costs through the 2030s.

Register at the Digital Product Passport Registry to begin your fertiliser CBAM compliance assessment.

Frequently Asked Questions

Are all fertilisers covered by CBAM?
No. CBAM covers specific fertiliser products under CN codes 28-31, including ammonia, nitric acid, urea, and mixed nitrogen fertilisers (NPK, NP, NK, ammonium nitrate). Phosphate fertilisers and potash are not currently covered.
What is the EU default emission factor for ammonia?
The EU default embedded emission factor for ammonia is 2.85 tCO₂ per tonne. This is the value applied if the exporter does not provide verified actual emission data.
How can African fertiliser producers reduce their CBAM costs?
The most effective long-term strategy is transitioning to green hydrogen (electrolysis-based) as the feedstock for ammonia synthesis. Green ammonia has embedded emissions of 0.1-0.3 tCO₂/t vs 2.85 tCO₂/t for conventional ammonia — a 90%+ CBAM cost reduction.
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