Europe has been suffering a carbon-dioxide shortage—the “worst supply situation to hit the European carbon-dioxide (CO2) business in decades,” according the industry publication Gasworld .
The culprit? Ammonia fertilizer. And once you tug at the reason Europe is experiencing a carbon-dioxide shortage, you start to unravel the entangled supply chains of modern food production.
Factories can’t turn a profit on making pure carbon dioxide alone. Instead, the gas is made as a by-product of other chemicals, often ammonia fertilizer. That’s because the first step in manufacturing ammonia involves taking a hydrocarbon molecule like natural gas and splitting the “hydro” from the “carbon”: The hydrogen gets turned into ammonia (NH3) for fertilizer. The carbon gets turned into carbon dioxide (CO2), which is captured, purified, and liquified for all sorts of uses. In addition to the aforementioned foods, this CO2 also ends up used in packaged salad greens, soft drinks, coffee, and industrial processes like “enhanced oil recovery” in oil wells.
Ammonia production plants operate on a regular schedule governed by the planting season. Farmers typically don’t apply fertilizer in the summer, so many plants shut down for periods of maintenance in April, May, and June. But this year, higher natural-gas prices have pushed production costs up while the price of ammonia has stayed static, so plants have been in no hurry to reopen. Plus, a heat wave and the World Cup have increased demand for soft drinks and beer. “You’ve got a real perfect storm of supply-chain conditions,” says Rob Cockerill, the global managing editor of Gasworld .