Yara initiates Belarus sourcing wind-down due to effects of sanctions on supply chain, while continuing safety program and trade union support
Oslo, January 10, 2022: Yara has a strong commitment to universal human rights and condemns all forms of repression and human rights violations. With the support of human rights organizations and trade unions, Yara has sought positive change by leveraging its presence in Belarus to promote occupational safety and human rights. However, the effects on the supply chain from the current sanctions on Belarus have forced Yara to initiate a wind-down of its sourcing of Belarusian potash, a key ingredient for the production of mineral fertilizers used in food production.
"The effects of the current sanctions on Belarus reduce Yara's ability to positively influence the safety and well-being of Belaruskali workers. For Yara, this is a disappointing development. We remain strongly committed to the safety and well-being of Belaruskali's workers. Despite the wind-down of potash sourcing, Yara aims to continue the industrial safety program initiated in 2021, in close cooperation with the independent trade union in Belaruskali and in full compliance with applicable sanctions," says Svein Tore Holsether, President & CEO of Yara International.
Through regular dialogue with Belaruskali management and trade unions, the implementation of a joint safety program in Soligorsk, first-hand observations, the secondment of a Yara Safety Director and through several other visits to Soligorsk, Yara has laid the ground for lasting improvements in the situation for Belaruskali workers. Although strengthening a corporate safety culture is a long-term process, Yara has already seen clear improvements in several areas during 2021. Some examples are machinery protection, trade union involvement and risk-based safe work assessments. It is Yara's ambition to continue this work despite its wind-down of sourcing activities. More details of the safety program can be found in a comprehensive report on yara.com: https://www.yara.com/siteassets/suppliers/reports/background-and-progress-report-on-yara-belaruskali-relations-9-january-2022.pdf/
Yara is committed to complying with all applicable laws and regulations, including sanctions. Although Yara's sourcing from Belarus is in full compliance with applicable sanctions, other parts of the supply chain are withdrawing essential services required to enable potash exports from Belarus, as a result of which Yara has initiated a wind-down in sourcing activities. The wind-down is expected to be completed by 1 April 2022. Yara will continue to monitor for any changes in the situation, including sanctions, as part of its ongoing sourcing operations.
Contact:
Kristin Nordal
Vice President Corporate Communications
Mobile: +47 900 15 550
E-mail: kristin.nordal@yara.com
Josiane Kremer
Director External Communications
Mobile: (+47) 481 80 451
E-mail: josiane.kremer@yara.com
Silje Nygaard
Head of Investor Relations
Mobile: +49 957 04 843
E-mail: silje.nygaard@yara.com
About Yara
Yara grows knowledge to responsibly feed the world and protect the planet. Supporting our vision of a world without hunger and a planet respected, we pursue a strategy of sustainable value growth, promoting climate-friendly crop nutrition and zero-emission energy solutions. Yara's ambition is focused on growing a climate positive food future that creates value for our customers, shareholders and society at large and delivers a more sustainable food value chain.
To achieve our ambition, we have taken the lead in developing digital farming tools for precision farming and work closely with partners throughout the food value chain to improve the efficiency and sustainability of food production. Through our focus on clean ammonia production, we aim to enable the hydrogen economy, driving a green transition of shipping, fertilizer production and other energy intensive industries.
Founded in 1905 to solve the emerging famine in Europe, Yara has established a unique position as the industry's only global crop nutrition company. We operate an integrated business model with around 17,000 employees and operations in over 60 countries, with a proven track record of strong returns. In 2020, Yara reported revenues of USD 11.6 billion.
returns. In 2020, Yara reported revenues of USD 11.6 billion.
www.yara.com
This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act