The Revival of Albania’s Chemical and Energy Industry: Should the Fier and Laç Plants Be Rebuilt and State Oil Processing Restored?
By FLAMUR BUÇPAPAJ
A Look Back
During the socialist decades, Albania built some of the region’s largest industrial plants. Fier became the center for nitrogenous and ammonium nitrate fertilizer production, while Laç was home to the superphosphate plant, supplying farmers with essential phosphorus for Albanian soils. These strategic facilities were designed to ensure agricultural and industrial independence.
After the 1990s, with the transition to a market economy, these plants were abandoned or unsuccessfully privatized. Albania lost a significant productive potential and became fully dependent on imports of chemical fertilizers, pesticides, and oil derivatives. Today, Albanian farmers pay high prices for fertilizers, often of uncertain quality, while consumers worry about food safety.
Ammonium Nitrate in Fier – Wealth and Risk
Ammonium nitrate is a key fertilizer for modern agriculture, boosting yields for wheat, corn, and forage crops. Albania once produced it domestically in Fier but now relies on costly imports.
Pros of rebuilding the plant:
Secures domestic supply and regional market coverage (Kosovo, North Macedonia, Montenegro).
Reduces costs for Albanian farmers.
Provides employment for hundreds of specialists and workers.
Minimizes dependence on foreign markets during crises.
Cons:
Ammonium nitrate is a dual-use substance, also used in explosives, requiring very high safety standards.
Production can emit chemical pollutants harmful to air and soil if not managed with modern technology.
Conclusion: With modern technology and strict state oversight, a Fier plant could serve as a cornerstone of Albania’s food security.
Superphosphate in Laç – Fertilizing the Soil
The Laç superphosphate plant once met the phosphate fertilizer needs of the entire country. Albanian soils often lack phosphorus, making this fertilizer vital.
Today, importing phosphate fertilizers is expensive, and the market is often flooded with dubious products.
Reopening Laç with clean technology could:
Boost domestic production and lower prices.
Enable exports to neighboring markets.
Create an industrial hub for chemical fertilizers in Albania.
Modernization is essential: the old plant heavily polluted the environment. A new facility must meet EU standards, with filters, waste management, and protection for local communities.
Albanian Oil – Untapped Wealth
Albania possesses significant oil reserves but has long exported crude and imported refined products. The refineries in Fier and Ballsh have experienced repeated crises, bankruptcies, and failed privatizations.
This model is costly: raw materials are sold cheaply while finished products are purchased at high prices.
Restoring state oil processing is strategic:
Ensures domestic oil and gasoline supply.
Reduces import dependence.
Adds value to the national economy.
Employs thousands in the energy sector.
A public-private partnership could combine state control with private technology and investment.
Pesticides – A Hidden Threat
As domestic fertilizer production declined, Albania became a major pesticide importer. Many are banned in the EU but are still used locally, endangering consumer health and threatening agricultural exports.
Consequences:
Albanian products are rejected abroad due to high pesticide levels.
Food-related illnesses rise.
Farmers face higher costs for expensive pesticides annually.
Solutions:
1. Establish a national agency for pesticide regulation.
2. Enforce strict customs controls and lab testing of all imports.
3. Promote organic products and integrated pest management.
4. Educate farmers on safe pesticide use.
Then and Now
Then: Albania produced its own fertilizers, energy, and had strong chemical and processing industries. Farmers had reliable, affordable supply.
Now: Albania is fully import-dependent. Prices are high, quality often questionable, and food safety is at risk.
A National Security Issue
These are not only economic concerns. Securing chemical fertilizers, oil derivatives, and safe food is a matter of national security. International crises—such as the war in Ukraine or tensions in the Middle East—could leave Albania without fertilizers and oil products, threatening the entire economy.
Decisions about Fier, Laç, and oil refineries are thus not nostalgia for the past but strategic moves for the future.
Time for Bold Decisions
Reviving the chemical and processing industry requires significant investment, transparency, and political will. The benefits are substantial: agricultural independence, energy security, jobs, and economic growth.
Albania cannot remain indefinitely an importing country. It must restore the productive capacity that once allowed it to feed itself and export. Fier, Laç, and Ballsh are the cornerstones of this revival.
This is a decision that demands long-term vision. Delay today, and tomorrow may be
