Chile could turn to clean hydrogen-based fertilisers as transit disruption in the Gulf besets global agrochemical supply, its economic development agency has suggested.
Corfo recently convened players from the agricultural and hydrogen sectors to discuss the role of domestically produced low-carbon fertiliser in easing shortages in the long-term.
It comes amid increasing momentum for hydrogen-based fertilisers in South America driven by perceived overdependence on imports.
In July, Corfo shifted its green hydrogen strategy to prioritise domestic demand and job creation, replacing previous sentiment aiming to position Chile as a major exporter.
The agency cited Ministry of Agriculture (Minagri) figures claiming 84% of Chile’s average annual fertiliser consumption is imported.
While Minagri studies suggested a historic average consumption of 950,000 tonnes per year, research pointed to an import volume of 1.15 million tonnes of fertilisers costing $660m in 2025.
Ana María Ruz, director of the Corfo Green Hydrogen Committee, said Chile has an opportunity to decarbonise a “critical element of the agri-food chain,” while enabling local demand that bolsters the domestic green hydrogen industry.
Chile sees a promising outlook for green hydrogen and derivative production.
The country’s Magallanes region is increasingly seen as a hotbed for large-scale hydrogen and derivative projects, with its abundant capacity for wind energy resources attracting global developers.
The HNH Energy consortium recently acquired governmental permission for a planned 1.7GW project in the region, while in July, Consorcio Austral submitted the Environmental Impact Statement for its $4.7bn project targeting 2029 construction.
Colombia and Brazil have both also boosted the case for hydrogen-derived fertiliser. The former recently advanced a bill aimed at incentivising domestic production, and the latter is moving to classify fertilisers as a strategic sector.
In May, the International Energy Agency said hydrogen would not play an immediate role in responding to supply disruptions due to the Middle East conflict, but would be “critical” to longer-term security measures across fertilisers, shipping, and aviation.
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