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After an investment of R$ 4 billion, the UFN3 construction work has been stalled since 2014. Now, under Prates’ command, Petrobras may resume activities at the fertilizer plant in Mato Grosso do Sul with the support of the Lula government.
Under the leadership of Jean Paul Prates, Petrobras is targeting the national fertilizer market. The company’s president will meet with the Minister of Planning and Budget, Simone Tebet, and the State Governor, Eduardo Riedel, by the end of this month to discuss the resumption of the UFN3 fertilizer plant (Unit of Nitrogen Fertilizers III), located in Mato Grosso do Sul.
See: Simone Tebet Talks About Investments for MS and the Resumption of UFN 3
Lula Government Discusses with Petrobras Under Prates the Resumption of Investments in the UFN3 Fertilizer Plant, Located in the Três Lagoas Region, MS
The Minister of Planning and Budget of the Lula Government, Simone Tebet, continues to show her interest in resuming the construction of UFN3 in Mato Grosso do Sul.
She had previously emphasized her desire to continue the work at the fertilizer plant, which had been stalled since 2014, with 81% of the work completed after an investment of R$ 4 billion.
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Now, she will meet with Petrobras President Prates and the Governor of Mato Grosso do Sul, Eduardo Riedel, to discuss a new investment of R$ 1 billion for the resumption of the works.
Since January, the minister has stated that the resumption of the UFN3 construction will be one of her priorities in Mato Grosso do Sul.
The resumption of investments in fertilizer production units is important for Brazil to regain autonomy in the sector.
The country was responsible for half of this input used in agriculture until the 1990s, but production fell due to state tax regulations.
Now, the minister seeks the support of Petrobras under Prates to help regain the relevance of the fertilizer sector in the Brazilian market over the next years of her mandate.
Resuming the Works of the UFN3 Fertilizer Plant Can Bring Benefits for Both Petrobras and the Economy of Mato Grosso do Sul
Resuming the construction of the Unit of Nitrogen Fertilizers III (UFN3) is an important issue not only for the State of Mato Grosso do Sul but for all of Brazil.
The country was once a major producer of fertilizers, responsible for half of the input used in agriculture, but in recent years has become heavily dependent on imports.
The resumption of the UFN3 construction, along with other halted fertilizer production units in the country, is crucial for Brazil to regain autonomy in the sector.
Furthermore, the resumption of the fertilizer plant’s construction will bring economic benefits to the region of Três Lagoas and to the entire state of Mato Grosso do Sul.
The unit can generate jobs and revenue, in addition to replacing a significant portion of the fertilizer imported by Brazil.
According to the proposal advocated by the Minister of Planning and Budget, Simone Tebet, and the state governor, Eduardo Riedel, an investment of about R$ 1 billion is needed to resume the work.
This proposal will be presented to Petrobras’ interim president, Jean Paul Prates, in a meeting that is expected to take place by the end of this month, which should give new directions for the future of the fertilizer plant.
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