Interview with H.E. Eng. Abdel Wahab Al Rowwad, Chairman of the Arab Fertilizer Association (AFA)

19 May Interview with H.E. Eng. Abdel Wahab Al Rowwad, Chairman of the Arab Fertilizer Association (AFA)

Celebrating its 50th anniversary last year, the Arab Fertilizer Association stands as a major voice in an industry of global importance, representing around 110 companies across 26 countries. Could you introduce the AFA to our readers, explaining its strategic importance, and the key milestones it has passed over the past 50 years?

The Arab Fertilizer Association (AFA) plays a key role in supporting food security in the Arab region and globally. It serves as the main platform for coordinating major Arab fertilizer producers, facilitating technical knowledge exchange and strengthening workforce capacity. AFA also promotes regional cooperation, market transparency and best industry practices. Importantly, it ensures that the Arab fertilizer industry speaks with a unified voice in global discussions on food security, sustainability and trade policy, enhancing the region’s overall impact in the global fertilizer sector.

Jordan Phosphate Mines Company (JPMC), a prominent AFA member, is a leading regional producer, with record output exceeding 12 million tons and is currently undertaking a major expansion program. How important is the company in the arab fertilizer industry today and how do its expansion plans reflect its global leadership?

Jordan has one of the world’s largest phosphate rock reserves, possibly the fifth globally. JPMC has a roadmap to 2040 focused on expanding downstream industries. Last year, production exceeded 12 million tons of rock phosphate, with about 45% used locally and the rest exported. JPMC is strongly focused on converting phosphate rock into phosphoric acid, the key raw material for phosphate fertilizers.

In Jordan, Indo-Jordan Chemicals Company — fully owned by JPMC — produces around 300,000 tons annually, all exported and REACH-certified for compliance in Europe and other markets. We are also expanding capacity through a second plant.

In addition, JPMC has a joint venture with the Indian Farmers Fertiliser Cooperative Limited producing about 500,000 tons of phosphoric acid under long-term offtake agreements. In Aqaba, we operate an integrated complex producing sulfuric acid, phosphoric acid, Diammonium Phosphate (DAP) and aluminum fluoride. We also have partnerships with Arab Potash Company and Nippon for producing around 32 fertilizer grades, including Monoammonium Phosphate (MAP), DAP, Monoammonium Phosphate Sulfate and Nitrogen, Phosphorus and Kalium (NPK), with exports mainly to Europe, Australia and Ukraine.

In Indonesia, our JV with PT Petrokimia Gresik focuses on phosphoric acid production for the local market. Overall, our strategy is to maximize value from phosphate rock through global downstream integration. This plant is performing well, with a capacity of around 200,000 tons of diphosphorus pentoxide (P₂O₅.)

At JPMC, we are expanding phosphoric acid production because it is the most important downstream product of phosphate rock and we aim to be a leading global producer. We are currently tendering a new joint venture in Jordan with Turkey to build a 300,000-ton P₂O₅ phosphoric acid plant in Al-Shidya, which will increase local utilization of phosphate rock. We are also developing a strategic project with the Arab Potash Company to produce purified phosphoric acid, which will enable specialty fertilizers such as MAP and MKP. The feasibility study is completed and we are now moving to basic engineering.

In addition, we have a JV with OQ Oman to produce phosphoric acid in Jordan and transfer it to Salalah for fertilizer production. This improves access to key markets in India, Pakistan and Africa, adding further value to JPMC’s production chain.

JPMC’s cooperation with the AFA focuses on sharing our experience with producing phosphoric acid using low-grade phosphate rock. All JPMC affiliates use low-grade rock for acid production, while higher grades are exported. This know-how can be valuable for knowledge exchange among Arab producers. Another important area is innovation, including the direct application of phosphate rock as fertilizer. Jordan exports around 2 million tons annually and markets such as Malaysia and Indonesia have already proven its effectiveness.

Within AFA, we also see opportunities to strengthen the industry through better coordination, including creating a regional database for non-moving spare parts to support industrial efficiency across member countries. In addition, AFA plays a key role in monitoring fertilizer and raw material markets, sharing price insights and helping secure supply chains among Arab producers.

How would you characterize the Arab region’s current standing in global fertilizer markets and which performance indicators best reflect its strength?

The Arab region plays a key dual role in energy and fertilizers. It holds around 25% of global gas reserves and contributes 15–17% of production, supporting strong fertilizer output. It also accounts for 10–12% of global ammonia production, a highly energy-intensive process. This positions the region as a key pillar in global supply. Overall, the Arab region is not only a major supplier but also a stabilizing force in the global food and energy system, supporting both current supply and future sustainability. Through the AFA, we prioritize energy efficiency in manufacturing to reduce carbon emissions while ensuring a reliable global supply.

Recent geopolitical shocks, including the war in Ukraine and tensions in the Strait of Hormuz, have underscored the need for greater resilience across key fertilizer-producing regions such as the Arab world. What do these cost and logistics pressures mean for coordination within AFA?

This crisis is significantly increasing fertilizer production costs, especially due to gas prices. Gas availability and price volatility strongly impact ammonia production, which is a key input for fertilizers. While phosphatic fertilizers and rock phosphate are less affected, rising ammonia costs are having a major impact on overall production costs. In addition, higher freight costs for transporting raw materials are further increasing the cost of fertilizer production globally.

Some major producers are reducing output by 30–40% due to shortages of key inputs such as sulfur and ammonia. This situation highlights the need to seriously consider green ammonia as a long-term solution. Lessons from the current crisis show that alternative supply sources are essential. In the Arab region, conditions are favorable for developing green hydrogen and green ammonia, which can help secure a more stable and sustainable supply for the fertilizer industry.

Many members of the Arab Fertilizer Association are actively promoting the transition to green fertilizers, green hydrogen and green ammonia. The Arab region is already leading global efforts in this area through major projects in Saudi Arabia, Egypt and Morocco, using solar and wind energy. At the same time, investments are increasing in smart and slow-release fertilizers to improve efficiency and reduce environmental impact. In Jordan, there is growing government pressure and private sector interest in developing green hydrogen and green ammonia projects, which will help secure a stable supply of ammonia as a key raw material for the fertilizer industry.

The fertilizer industry is undergoing a digital shift, with AI and advanced data systems beginning to shape operations and strengthen production control and future performance. Where do you see AI and digitalization having the greatest impact on the industry’s future and what examples already demonstrate their potential in practice?

The future of fertilizers is not only about increasing production, but about delivering smarter and cleaner solutions while maintaining global affordability. I believe the fertilizer industry should increasingly adopt digital and AI-based control systems. Such systems can significantly improve plant efficiency, optimize operations and enhance overall performance. Expanding digital control across fertilizer plants will have a strong positive impact on productivity and sustainability.

AFA’s events have become key platforms for aligning priorities and shaping practical solutions among the leading players. From your perspective, how do AFA’s flagship events, most recently the 32nd AFA International Fertilizer Annual Conference and Exhibition, strengthen collaboration and move the industry forward?

The Arab Fertilizer Association conference was initially planned for April, but has been postponed to June due to current circumstances. It will now be held in Cairo. The AFA conference provides an important platform for knowledge exchange and discussion of key industry topics. It will also feature international companies working on green ammonia, adding significant value. Overall, AFA conferences and exhibitions offer members the opportunity to access the latest technologies in the fertilizer industry, supporting improved performance and development across the sector.

The US is among the world’s largest fertilizer consumers and the Arab region one of its most significant suppliers. How do you view the current direction of cooperation between the Arab region and the US in fertilizers and how do you expect this relationship to evolve?

In the coming period, the US market is expected to become more attractive for fertilizer exports from Arab countries. From JPMC’s experience, the US has been a strong market over the past 3–4 years for DAP and other fertilizers, including products from our Nippon JV. Looking ahead, there is strong potential to expand exports from the Arab region to the U.S., both in fertilizers and rock phosphate. This is particularly relevant as regulations on heavy metals become stricter. Rock phosphate from Jordan, Morocco and Algeria can meet these requirements and support safe food production, creating added value for U.S. customers.

Major fertilizer producers in the Arab world, such as OCP in Morocco and Maaden in Saudi Arabia, as well as companies in Tunisia and Nigeria, have strong opportunities to access the US market. The US represents a significant growth potential for Arab fertilizer exports and raw materials.

Consistently ranked among the Middle East’s most influential CEOs, you bring a uniquely deep perspective on the region’s industrial future. Looking ahead, how do you envision the Arab fertilizer industry’s global role evolving in the years to come?

As I begin my role as chairman of the Arab Fertilizer Association, my first priority is to strengthen cooperation with the International Fertilizer Association and FAI India. There are many areas of shared interest where we can work together to support global food security. My goal is to maximize collaboration between AFA, IFA and FAI, enabling mutual exchange of knowledge and experience for the benefit of all three organizations.

Fertilizer supply should remain independent of geopolitical tensions, as it is essential for global food security. It is a critical and sensitive input that must not be disrupted by current geopolitical challenges.