Germany Takes Steps to Decarbonize Cereal Farming with Green Fertilizer

Yara Germany, in collaboration with the Bindewald & Gutting Milling Group and Harry-Brot, has entered into a cooperative arrangement aimed at initiating the decarbonization of cereal cultivation in Germany by implementing eco-friendly fertilizers. This initiative will involve the utilization of Norwegian ammonia, produced using hydropower, and processing it in Rostock. Starting from the upcoming 2023/24 growing season, contract farmers associated with the Bindewald & Gutting Milling Group will integrate Yara’s green fertilizer on an approximate area of 1600 hectares. The green fertilizer will be manufactured from environmentally friendly ammonia at a facility located in Rostock, Germany.

In stark contrast to conventional methods that rely on fossil fuels such as natural gas for ammonia extraction, green ammonia is derived from renewable energy sources like wind, hydropower, and solar energy. This production method encompasses the extraction of necessary hydrogen for ammonia synthesis via electrolysis. The result is a fertilizer with a significantly reduced CO₂ footprint, up to 90% less when compared to traditional methods. Within this context, Yara Germany, all nine establishments of the Bindewald & Gutting Milling Group, and Harry-Brot have jointly committed to a cooperation agreement with a shared objective of mitigating CO₂ emissions in cereal production. This alliance is poised to contribute to carbon footprint reduction across the entire food value chain, beginning with fertilizers and extending to sales, ultimately impacting end consumers.

An IPSOS-conducted study has revealed that 74% of German consumers express a desire for product packaging to display the CO₂ footprint, with 53% indicating a willingness to pay extra for food produced with reduced fossil fuel involvement. By adopting green fertilizer, the carbon footprints of grains can be diminished by up to 30%, offering consumers a sustainable food choice while supporting environmentally conscious production practices. Further reduction in field emissions is feasible through optimized fertilizer management, encompassing well-balanced crop nutrition, the selection of the most effective nitrogen form, and site-specific fertilization tailored to crop requirements. By integrating these strategies with digital precision farming tools, the collaborative partnership offers an encompassing fertilization solution.

Benoît Lamaison, Senior Vice President of the Continental Europe Business Unit, remarked, "Today's signing of our cooperation agreement officially kicks off the first project in Germany using Yara's green fertilizer solution based on fossil-free ammonia. We are looking forward to the cooperation and hope this is the first of many partnerships across the entire food value chain." Marco Fleischmann, Managing Director of Yara Germany, added, "Our partnership with the Bindewald & Gutting Milling Group and Harry-Brot is a crucial first step to decarbonize German agriculture. It is a concrete example of how food production can be transformed in a sustainable way. However, not only all stakeholders along the food value chain are challenged and invited to actively participate in the green transformation of agriculture but also politicians promoting the expansion of renewable energies."