The expected reduction comes amid disruptions to global soil-nutrient supply chains triggered by the Middle East conflict and China’s fertilizer export restrictions.

OCP, the world’s top producer of phosphates-based fertilizers, was proceeding “bringing forward planned Q3 and Q4 maintenance activities into the second quarter,” one of the sources told Reuters, requesting anonymity.

The maintenance works have been advanced “as part of normal operational planning and asset optimization, in a context of increased market uncertainty,” the source said.

The output reduction is temporary and OCP does not expect a significant impact on its annual production profile, a second company source said, adding that the expected drop was discussed during a recent investor call.

OCP is particularly exposed to fluctuations in the prices of ammonia and sulphuric acid, two key fertilizer inputs whose supply has been severely affected by disruptions in the Strait of Hormuz.

OCP’s sulphuric acid imports nearly doubled to $1.6 billion (C$2.2 billion) in 2025, driven by higher consumption and prices, while ammonia imports fell nine per cent to $840 million (C$1.17 billion) as production of nitrogen‑based fertilizers declined, according to OCP’s annual report.

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The non-profit organization jointly operates the Svalbard Global Seed Vault with Norwegian authorities and offers financial and technical support to smaller seed banks, also known as gene banks, in collecting, preserving and breeding crop varieties.

Amid a surge in conflicts and adverse impacts of climate change “there is an absolutely great sense of urgency to make sure that the entire gene pool of crops is conserved,” Schmitz told Reuters.

Speaking on the sidelines of an International Center for Agricultural Research in Dry Areas (ICARDA) conference, in Rabat, Morocco, he said increased funding would enable Crop Trust to fully fund ICARDA’s gene banks.

The centre made the first seed withdrawal from the Svalbard vault in 2015, after the Syrian war disrupted the operation of a gene bank in Aleppo.

The surge in conflicts stresses “the urgency to have the global biodiversity preserved in order for mankind to continue to have access to what they need to sustain life on earth,” ICARDA’s director general Aly Abousabaa said.

Extreme environmental events, such as this week’s torrential rains in Dubai, “have literally washed some of the experiments we had on the ground,” he said.

ICARDA operates in 16 dry countries, of which 50 per cent facing conflict. It draws on old crop varieties to breed seeds that are resilient to harsh climates.

In Morocco, the centre’s researchers led the development of strains of drought-resisting wheat varieties that “have done extremely well at 200mml of rain, compared to what you would normally receive at between 350mml and 400mml of rain,” Abousobaa said.

“We have not yet fully exploited the capacity of science,” he said, urging steady funding “because science cannot afford the ups and downs”.

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The revision, also reported by traders, means that as of March importers are able to receive a monthly subsidy if cargoes are loaded by the end of the month, unlike previously when ships had to arrive in Morocco by the month’s end.

Encouraging shipments from the Black Sea region, which includes Russia and Ukraine, was “one of the reasons” for adjusting the import subsidy terms, the official told Reuters.

The change could increase competition in a Moroccan import market dominated by wheat from France and other relatively nearby suppliers in the European Union.

Morocco has stepped up imports after a drought-hit harvest last year, and has overtaken Algeria as the top export destination for EU wheat in the 2022-23 season.

Like other wheat importers, it faced record prices last year after Russia’s invasion of Ukraine upended global grain trade, and the country is also experiencing wider food inflation because of its drought and other issues such as fertilizer costs.

French traders said the change should not have a big immediate impact as ONICL had separately maintained a lower subsidy rate for Russian and Ukrainian wheat compared with imports of other origins like EU supplies.

But it could lead merchants to source more cargoes from EU countries on the Black Sea, like Romania, and make shipments from Ukraine and Russia more feasible in future, particularly if war disruption there eases, they said.

“There’s a mixed feeling with the news about the date of loading,” a French trader said. “But the EU still remains in pole position on the Moroccan market.”

Traders have reported large sales of French and northern European wheat in the past week for March shipment to Morocco.

Canadian wheat exports to Morocco are primarily durum, in which the country is currently Canada’s third-biggest export customer after Italy and Algeria.

As of the end of January, according to the Canadian Grain Commission, licensed facilities have exported about 344,300 tonnes of Canadian durum and 11,000 tonnes of other Canadian wheat to Morocco so far in the 2022-23 crop year, compared to 355,900 and 5,500 at the same point in 2021-22.

Attention is turning to Morocco’s 2023 grain harvest to see if earlier drought will affect yields again and maintain high import requirements next season.

French traders said grain firms had been informed the import subsidies will be offered till the end of May, suggesting Morocco will then close its import window to focus on its local crop.

However, Morocco usually does not confirm the end of its import campaign until harvest prospects become clearer around April.

— Reporting for Reuters by Ahmed Eljechtimi in Rabat and Gus Trompiz in Paris. Includes files from Glacier FarmMedia Network staff.

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