US exempts critical Russian commodity from sanctions

31 Mar, 2022 12:04 / Updated 3 years ago
Washington aims to protect farmers from fertilizer shortages

Washington has eased sanctions on Russian agricultural products, including fertilizers, placed on Moscow over the crisis in Ukraine. The move aims to protect US farmers from a shortage of chemical products as food prices in the country continue to soar.

The Office of Foreign Assets Control (OFAC) of the US Treasury recently published a new general license dated March 24, which effectively removed restrictions on the import of Russian fertilizers.

The document authorized transactions relating to the exportation and re-exportation of agricultural commodities, banned last month by Washington’s ‘Russian Harmful Foreign Activities Sanctions Regulations’.

The list of agro-related products now exempt from sanctions includes food for humans, live animals, vitamins and minerals, food additives and supplements, seeds for food crops, fertilizers, and reproductive materials.

READ MORE: US ramps up imports of ‘banned’ Russian oil

Exemptions also cover medicine, medical devices, software updates, and replacement parts for medical devices and Covid-19-related medical components. Analysts say the EU may soon mirror the measure.

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