European farming associations Copa and Cogeca are calling for the suspension of the Carbon Border Adjustment Mechanism (CBAM) due to rising fertilizer costs. They estimate the policy could cost farmers up to 39 billion euros over seven years, creating a structural imbalance since crop prices are set by global markets while input costs rise due to EU carbon policy. The groups warn that nitrogen fertilizer prices could increase by 15 percent as early as 2026. They are urging the European Commission to provide clarity on how CBAM revenues will be redistributed and to implement measures that offset these costs to protect food security.
