Several sectors are going to be affected by the nitrogen ruling in the coming months. Besides the agricultural sector, construction, industry and logistics are also affected. ABN Amro foresees a brake on the growth of logistics companies.
In the publication 'Nitrogen blows wide across sectors', ABN Amro analyses the consequences by sector. Much discussed are the consequences for the agricultural sector, but the construction and real estate sectors are also facing acute problems. With no or hardly any building permits being issued, projects are grinding to a halt. As a result, construction and real estate companies are at risk of bankruptcy, the bank said.
Consequences for logistics
This affects companies in transport & logistics. The sector supplies both the construction, and agricultural sectors and may face a decline in demand for transportation of construction materials or livestock. Construction materials, for instance, account for 40 per cent of cargo volume in inland shipping. This affects volumes and rates across the transport sector.
Construction distribution centres
The issuance of building permits for distribution centres is also at risk. Distribution centres usually create additional nitrogen emissions indirectly, because a new establishment, for example, generates additional traffic movements. This can act as a brake on the growth of logistics companies.
Situation also offers opportunities
For some entrepreneurs, the nitrogen ruling actually offers opportunities, ABN Amro concludes. This is especially true for companies and sectors committed to sustainable products and services. Producers and lessors of electric construction equipment and transport equipment can expect more demand for their products. Demand for modular construction could increase, as could demand for consultants providing ecological advice. IT applications that help map nitrogen emissions will also be in demand.
