Fertilizer Shortage Forcing Farmers To Plant Less

(Elizabeth Elkin) A shortage of nitrogen fertilizer is getting so bad that farmers won’t be able to get what they need for their fields in the near future.

That’s according to executives at CF Industries Holdings Inc., who spoke on an earnings call Thursday. If the owner of the world’s largest nitrogen facility is right and farmers have to scale back fertilizer applications, that could lower corn yields, pushing up the price of food even further. Food inflation is already a concern, with a United Nations gauge of global prices at a decade high.

Fertilizer is scarce right now because high costs for natural gas, a key raw material, have halted some production in Europe. Other countries like China and Russia are imposing restrictions on exports to try and safeguard local supplies.

The U.S. is a major importer of farm nutrients, importing 20% of its urea and 40% of ammonium nitrate from Russia alone.

Top Fertilizer Producers See Massive Price Surge Continuing

U.S. spot prices for potash and urea, a form of nitrogen fertilizer, have more than doubled this year, according to Green Markets, a company owned by Bloomberg. Analysts have raised concerns that farmers simply won’t be able to buy at these prices.

Source: by  Elizabeth Elkin | Yahoo News

***

1 thought on “Fertilizer Shortage Forcing Farmers To Plant Less

  1. Pingback: Fertilizer Shortage Forcing Farmers To Plant Less — Easy Money | Vermont Folk Troth

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.