EuroChem announced yesterday its intent to build an ammonia and urea production facility in Louisiana. The Company is based in Moscow and is among the top ten global fertilizer producers. Nearly a quarter of their Ukraine and Russian made product is shipped to the U.S., and the proposed sites -- one in Iberville and the other in Saint John the Baptist parish -- will position the Company to take advantage of both rail and nautical shipping lanes.
Dmitry Strezhnev, CEO of Eurochem, commented: “The Americas accounted for approximately a quarter of our sales in 2012 and we expect its contribution to continue to grow. We therefore see it as a next logical step to establish our production closer to our customers. Louisiana brings together all the right ingredients, from its favorable political and economic environment, to the availability of energy, labor, infrastructure, and logistics, to fulfill our strategic vision in one of the world’s largest agricultural markets.”
Governor Bobby Jindal said, “With continued momentum from our vast energy resources, our top-notch infrastructure and world-class workforce, Louisiana is leading the nation and the world in attracting major industrial expansions. EuroChem embodies why we’re performing at such a high level. As one of the world’s largest fertilizer companies, EuroChem recognized that our mix of peerless resources and a rapidly improving business climate make Louisiana the ideal place for business investment in the world. We’re delighted that our existing employers are expanding and becoming more efficient and productive by the day, and that world-scale investors are coming to Louisiana from as far away as Australia, Japan, South Africa and, now, Russia. This project will continue our goal of providing outstanding careers for our current workforce and our children and grandchildren for years to come.”
EuroChem and Louisiana Economic Development (LED) officials have been working together on the planned construction of EuroChem’s plant in Louisiana since 2012. To secure the project, the state has offered the Company a competitive incentives package, including a number of tax exemptions. According to LED estimates, once completed the plant is expected to generate approximately 200 new jobs and over 1,300 jobs in related sectors. In addition, during the four-year construction phase the Company is expected to employ approximately 2,000 new construction workers.