Customers and product management

We are committed to the responsible use of our products making sure they are safe for people and the environment. Product life cycle management at PhosAgro is in full compliance with applicable Russian and international standards and regulatory requirements. We seek to minimise any potential negative impact of our products on safety, health and the environment throughout the value chain, from product development to the end of its life cycle.

Mikhail Sterkin Deputy CEO for Marketing at PhosAgro

Social and geopolitical turmoil, climate change, and increasing inequality are just some of the challenges faced by people over the recent years. Global food security remains one of the most pressing issues, including producing sufficient amount of quality and safe food accessible to all.

This lends strategic weight and global significance to the Company's mission of ensuring food security in Russia and beyond by reliably providing farmers with safe, high‑quality fertilizers. We believe that tackling important problems is only possible through open dialogue and trust that foster productive cooperation among all stakeholders. This approach is at the heart of our interaction with customers.

GRI 3‑3

An open dialogue with customers helps us understand their expectations and requirements for our products, services and the management system, as well as their vision of future products. This valuable information creates a solid foundation for the Company’s further strategic growth and new product development.

In 2025, the Company conducted an assessment of material topics among a broad range of external and internal stakeholders. Product quality and safety emerged as high priorities in responses from both stakeholder groups. The financial materiality assessment conducted as part of the same study confirmed that risks and opportunities related to product quality are regarded as significant.

PhosAgro Group’s responsible production management framework is based on the following principles:

• compliance with Russian and international standards and regulations;
• integration of quality, occupational health and safety, and environmental management systems;
• accurate traceability of materials, elements and substances from product development to the end of life cycle;
• open and transparent information about the properties and quality of products for customers and other stakeholders;
• open dialogue with stakeholders regarding their expectations and satisfaction with the Group’s products and services.

PhosAgro Group’s vertically integrated business model is a competitive advantage. PhosAgro’s upstream assets benefit from extensive and high‑quality resource base boasting unmatched purity. Our production facilities are located close to key mineral resources used as feedstock for fertilizers and other products. At PhosAgro Group, we have a product management framework that relies on the assessment of product life cycle. It covers all production facilities and stages of product life.

Product management framework

System for planning and defining criteria for product development

Internal quality control

All processes that ensure compliance of the product safety and quality criteria with stakeholder requirements and expectations throughout the product life cycle, from ore and material selection to the supplies of products to end consumers, are monitored, measured, analysed and managed to ensure continuous improvement of the quality of specific processes and the framework at large.

Interaction with customers and product safety are closely related issues regularly discussed by the Board of Directors’ committees and submitted to the Board of Directors for consideration.

Dedicated departments at the Company's facilities manage quality, environmental, industrial safety, and occupational health management systems. Their teams coordinate the day‑to‑day functioning and development of these systems, integrate requirements into processes, conduct internal oversight, implement targeted measures, and update documented information while also collecting and presenting data for review by the Company's senior management.

External quality control

Every year, PhosAgro Group facilities undergo external audits by accredited certification bodies to confirm compliance of the Company’s management systems with international and national standards for quality, feed safety, and HSE management.

Development of products and manufacturing processes is implemented in partnership with the Company's Research and Innovations Centre and Samoilov Scientific Research Institute for Fertilizers and Insectofungicides (NIUIF), Russia’s only institute specialising in this area.

Risks specific to the Group’s operations include:

• Risks associated with chemicals management and regulatory requirements for product safety
• Risks associated with innovation and customer satisfaction
• Risks associated with ensuring ethical research and production principles

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Regulatory environment and management of risks associated with chemicals

PhosAgro Group facilities ensure timely receipt of all necessary licences for their activities to strengthen public confidence in the safety of their operations and products. All types of fertilizers are registered in Russia. PhosAgro Group is committed to reducing hazardous substances in its activities. We ensure full transparency with respect to the chemicals we use and the content and properties of our products.

Regulations and certain requirements applicable to mineral fertilizers in Russia

We tap our extensive knowledge base and technologies to design products that are safe for the environment and people. In strict compliance with the regulations, all PhosAgro products undergo the necessary environmental and toxicological tests as part of their registration process before being marketed to our customers.

We are committed to the ethical principles of animal welfare and seek to avoid using animals for research. This matter is addressed at the highest level by the Board of Directors. Our position on this is stated in our Code of Ethics: the Company does not conduct experiments on animals, except as required by law; when conducting an expert examination of fertilizers, the main method of evaluating information on the toxicity and hazard of a multi‑component substance to animals is to analyse information from national and international databases, as well as information on previously registered fertilizers. Currently, there are very few alternatives to animal research that are recognised by the government. We are doing our best to expand the range of allowed research methods and reduce experiments on animals.

Foreign regulations and certain requirements applicable to mineral fertilizers by the European Union

REACH Regulation

PhosAgro Group’s products exported to EU customers have been registered pursuant to Regulation (EC) concerning the Registration, Evaluation and Authorisation of Chemicals (REACHREACH (Registration, Evaluation, Authorisation of Chemicals) – regulation (EC) No. 1907/2006 of the European Parliament and of the Council of 18 December 2006 concerning the Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH). The regulation took effect on 1 June 2007 and covers production and imports of chemical substances. ). For companies, REACH conformity means greater responsibility for assessing the risks associated with the use of chemicals and providing users with relevant safety information. Companies producing or importing 10 tonnes or more of hazardous substances per year are required to submit not only technical data, but also a chemical safety assessment (CSA). All information on such substances is communicated by PhosAgro Group in full to the regulators.

Pursuant to the above Regulation, Apatit's products contain no substances which are subject to restrictions on their sales in the European Union.

We produce ammonium nitrate(AN) CAS 6484‑52‑2 EC No. 229‑347‑8., which is subject to para 58, Annex XVII of REACH. However, it does not apply if a fertilizer conforms to specifications defined in Annex I and Annex IV to Regulation (EU) 2019/1009. To assess conformity, samples of ammonium nitrate are sent quarterly to the Inspectorate Estonia AS lab for detonation resistance and oil retention tests. The results are formalised by a protocol for compliance with the requirements of Annex I and Annex IV of Regulation (EU) 2019/1009.

CLP Regulation

The quality and safety of mineral fertilizers produced by the Company is confirmed by state registration documents, declarations of conformity, and safety data sheets. According to expert reviews, new fertilizer grades of PhosAgro Group are effective and environmentally and toxicologically safe. The products are properly classified, labelled and packaged in accordance with Regulation (EC) No. 1272/2008 (CLP Regulation).

All types of manufactured fertilizers have safety data sheets (SDS).

FPR and ANSES recommendations (cadmium level requirements)

PhosAgro Group's enhanced phosphate‑based fertilizers have perfectly low cadmium average content (0.2 mg per kg), making them among the safest in the world. EU Regulation 2019/1009 (Fertilizing Products Regulation, FPR) on fertilizers, establishes rules for CE‑marked fertilizers (also known as EU Fertilizing Products). The regulation provides for reducing cadmium content in EU fertilizers, by introducing a single cap at 60 mg per kg of P₂O₅ and banning inorganic fertilizers in the EU with a cadmium content above that cap starting from 16 July 2022. Going forward, the regulation provides for tighter requirements and a gradual reduction of cadmium content to no more than 20 mg per kg of P₂O₅. The plans of cutting the cap to 40 mg per kg of P₂O₅ have been already announced.

At the same time, the French Agency for Food, Environmental and Occupational Health & Safety (ANSES) has already issued recommendations for a cadmium content in inorganic phosphate‑based fertilizers of less than 20 mg per kg of P₂O₅.

Thus, PhosAgro Group's phosphate‑based fertilizers have a much lower cadmium content than required in the EU, which is reflected in our product slogan: pure minerals for healthy lives.

In 2025 and early 2026, in line with Regulation (EU) 2019/1009, Apatit’s mineral fertilizers were successfully recertified by an independent notified body in the area of fertilizer certification in the EU, making it possible for the fertilizers to continue to be CE‑marked.

Voluntary ESG certification of products GRI 2‑28, 417‑1

Green One

PhosAgro was the first Russian company to be certified to GOST R 58658–2019, a standard for products with improved characteristics which introduced the world’s most rigorous limits on heavy metals and arsenic content. This allows PhosAgro to mark its products with a special Green One label.

In September 2025, the Company confirmed the status of its products as having improved characteristics and retained its right to use the Green One eco‑label.

Green Label

Additionally, PhosAgro Group made a Green Label environmental claim asserting that its products are free from dangerous cadmium concentrations harmful to human health and soils.

Labelling in accordance with European Union legislation

PhosAgro Group’s product packaging also features a pictogram from the EU regulations, which is used to inform consumers that the fertilizers are safe in terms of heavy metals, with cadmium content not exceeding 20 mg per kg of P₂O₅.

Pro Agro Lectorium training programme

Meeting the demand for skilled professionals in the rapidly growing agriculture sector is a major concern worldwide. The gap between educational programmes and the industry's technological advancements poses a significant obstacle in training qualified experts ready to tackle modern agro‑industrial challenges. To address this gap, PhosAgro Group has established Pro Agro Lectorium, an educational programme for students, postgraduates, university professors, agricultural producers, and employees of agricultural companies in Russia and BRICS countries.

Through collaboration with universities, Pro Agro Lectorium offers over 400 lectures and 18 additional professional education courses with official state‑recognised qualifications. These include "Digital Transformation of the Agro‑Industrial Sector", "Soil Health, Mineral Plant Nutrition", "Economics of Organic Agriculture", "Organic Farming", "Legal Foundations of Entrepreneurial Activity in Agriculture", and others.

Pro Agro Lectorium offers lectures in Russian, English, and Portuguese. An important outcome of the Pro Agro Lectorium project was the signing of agreements on scientific and educational cooperation with BRICS countries.

In addition to its educational content, the platform features an internship, traineeship, and job search service connecting students directly with agricultural businesses.

Programme milestones to date:

46 agricultural universities

and 3 vocational colleges enrolled in the programme

24 educational centres

operating at universities

More than

25,000 people

monthly audience of the Pro Agro Lectorium programme

More than

4,500 lectures

delivered to students and lecturers at agricultural universities

More than

267,000 people

have completed educational modules

10 scientific and educational cooperation agreements

signed with BRICS countries

An important goal of the platform is to build a student community centred around Pro Agro Ambassadors – agricultural university students who promote PhosAgro's research and educational model to their peers. More than 30 students from 13 universities have already become ambassadors and are helping to deliver PhosAgro's educational initiatives.

In 2025, the first international applied research conference titled “Education as a Pillar of Food Security in BRICS Countries” brought together representatives from more than 20 countries to discuss sustainable agribusiness development, young people's scientific and technological potential, and the promotion of agricultural knowledge.

Through the integration of PhosAgro's research and educational model, universities are creating educational infrastructure and updating curricula in line with today’s production requirements. From day one, students gain exposure to advanced technologies and industry expertise, learning from the industry's best experts. The Pro Agro Lectorium platform offers them a full range of tools to effectively plan their professional future, integrating education and career tracks.

Digital services for farmers

The agro-industrial sector is now one of the most promising fields for digital transformation, with AI-powered digital technologies being rapidly adopted by farmers worldwide.

From January 2020 to December 2025, the target audience had over 38 million interactions with PhosAgro’s ecosystem.

PhosAgro Group is committed to helping farmers efficiently calculate mineral fertilizer applications and easily order recommended nutrition systems. The Company's digital tools – PhosAgro’s online trading platform and AgroResult mobile app – are specifically designed for these needs. They enable users to calculate precise fertilizer application rates, receive tailored recommendations on application timing and methods, and order our products online via any device (computer, tablet, or mobile phone).

The Agro Calculator supports 38 major crops and 47 precedingCrops grown on the same plot in the previous year. crops relevant to Russian agriculture. Nutrition system recommendations draw from a diverse product range, including the ten most popular fertilizer brands in PhosAgro Group's portfolio.

The Company continuously refines the Agro Calculator algorithm to enhance its precision. Calculations incorporate not only yield parameters and nutrient removal rates, but also site‑specific soil characteristics, based on scientifically validated mineral nutrition data. The database is regularly updated to ensure users have access to the latest information available.

The Agro Calculator is a versatile software solution capable of integrating with various external data sources, including weather services and satellite monitoring systems for agricultural land.

Going forward, the Agro Calculator will also incorporate a low‑carbon farming component.

Agro Calculator with generative AI

In 2025, the Agro Calculator algorithm was significantly enhanced:

• new models were developed from agronomist data;
• generative AI was incorporated to enable direct responses to agronomist queries;
• an API (Application Programming Interface) was developed for integration with external services, connecting the Agro Calculator to other Russian agri‑tech platforms.

The system is currently being prepared for pilot operation.

The model operates by analysing soil quality data from the regional reference database, historical meteorological data, crop rotation information, and the intended crop, after which it generates nutrient and fertilizer volume recommendations.

Between October and December 2025, we conducted a study to assess consumer preferences among agribusiness sector players across all agricultural regions of Russia. The study utilised a survey to identify farmers' priorities regarding fertilizer manufacturers, factors influencing their product choices, and their familiarity with various products, including newly introduced grades. The survey also explored consumers' perceptions of services offered by different companies.

The survey was conducted by an independent research agency to ensure broad coverage and objectivity.

Survey participants

430 people

from 8 federal districts

87 %

hold higher education degrees

More than

50 %

have over 15 years of agricultural experience

13 %

have secondary vocational or secondary education

More than

50 %

are business owners or agronomists

According to the survey, consumers prefer PhosAgro products to all other fertilizers available in the market. Additionally, survey participants specifically emphasised the Company's extensive product range and complex fertilizer solutions as distinctive advantages – features uniquely attributed to PhosAgro's portfolio.

The proportion of consumers with strong awareness of the Company's product brands has increased markedly compared to 2024. Respondents also highlighted positive cooperation experience, smooth logistics, and delivery convenience as key factors in supplier selection.

The Company also led across all three brand awareness metrics: top‑of‑mind, spontaneous, and prompted.

Customer satisfaction surveys

Customer satisfaction is central to the Company’s operations. Customer satisfaction with PhosAgro Group’s products and services is assessed in accordance with the requirements of ISO 9001 through questionnaire surveys, with the results used to evaluate satisfaction levels. Prior to 2024, these surveys were conducted annually, revealing consistently high levels of consumer satisfaction regarding quality, product range, and services. Beginning in 2024, the Company transitioned to a biennial schedule for customer satisfaction evaluations.

In the reporting year, satisfaction was assessed across product composition (nutrients), quality (grain‑size composition, dusting, and caking), packaging (design, durability, and moisture protection), and product range.

The overall satisfaction rate across all criteria reached 92% – consistent with prior years and reaffirming the Company's ability to successfully address customer needs.

Customer satisfaction with the Company's products in 2025, %