By Faith Parum
Key Takeaways
- Fertilizer pre-booking rates varied significantly by region, with just 19% of Southern producers reporting fertilizer purchases secured ahead of the season, compared to 30% in the Northeast, 31% in the West and 67% in the Midwest, reflecting differences in planting decision timelines and exposure to recent price increases.
- Fertilizer affordability challenges are most acute in the South and Northeast but remain a concern for farmers across all regions. Around 70% of respondents report being unable to afford all the fertilizer they need.
- Farm diesel prices have increased 46% since the end of February, raising costs for fieldwork, fertilizer transport and irrigation during both planting and growing seasons.
- Nearly six in 10 farmers report worsening finances, reflecting rising fertilizer and fuel costs during spring planting and underscoring the urgent need for immediate economic assistance to keep farms gates open.
Rising input costs tied to the conflict in the Middle East are adding strain to an already challenging farm economy. To better understand how global fertilizer market disruptions are affecting producers during spring planting, the American Farm Bureau Federation conducted a Fertilizer Availability Survey of farmers and ranchers across the country. More than 5,700 farmers responded to the survey, which was conducted April 3 through April 11.
Regional Differences Reflect Crop Mix and Supply Exposure
Survey responses show the closure of the Strait of Hormuz is affecting regions across the United States differently because crop production systems and fertilizer needs vary.
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