Trinidad and Tobago (T&T) is a major global player in the ammonia market, being one of the largest exporters of the commodity worldwide. In 2024, the country's eleven facilities, operated by four producers Proman, Nutrien, Yara, and Pt Lisas Nitrogen (PLNL) produced just over 4 million metric tons of ammonia. Proman is the largest producer, accounting for 38% of the nation's output, followed by Nutrien at 31%, Yara at 19%, and PLNL at 11%.
The ammonia sector as a whole is a vital pillar of the T&T economy, serving as a major contributor to manufacturing sector GDP, a significant source of government tax revenue, and a leading earner of foreign exchange. In fact, in 2024 T&T exported over USD $1.2 billion worth of ammonia. Beyond national finances, the downstream sector is also a major employer of direct staff, contractors, and itinerant workers.
Ammonia production in T&T has seen a significant decline over the past decade, primarily due to issues with the supply of natural gas. This echoes a similar trend in the country's methanol sector, which has fallen by about 27% since 2010. The number of operational plants has also decreased, with Yara shutting down one facility in 2019 and Nutrien taking another offline during that period.
The recent, high-profile controlled shutdown of Nutrien, the nation's second-largest producer, was largely attributed to the lack of a reliable and economically viable natural gas supply. A significant part of the problem stems from a national reduction in natural gas production, which has complicated allocations for petrochemical and LNG plants. Historically, downstream companies received long-term gas supply contracts (20 years). More recently, however, companies have been issued much shorter contracts (reportedly 3 years), often with higher prices, which has lengthened and complicated negotiation processes.
In addition to gas supply issues, a commercial dispute between Nutrien and the National Energy Corporation relating to port access and fees was cited as another factor in the shutdown. These are issues that affect all producers in T&T.
The potential closure of Nutrien's operations would be a massive blow to the T&T economy, representing a loss of 31% of national ammonia production and exports, a shortfall of over 1.2 million metric tons.
Internationally, while the loss of T&T production is significant, Nutrien has indicated that there will not be a global drop in supply, as their North American operations are prepared to fulfill the shortfall in their overall projected sales.