By Hope Kirwan
Wisconsin farmers are once again facing market uncertainty heading into planting for the year.
While tariffs shook up markets last year, this spring’s volatility is due to the war in Iran and the impact on global markets.
The conflict has not only affected oil and gas prices but has dramatically slowed shipments of nitrogen fertilizers from Gulf countries. According to NPR, about a third of all global fertilizer shipments go through the Strait of Hormuz, which connects the Persian Gulf and the Gulf of Oman.
Most farmers have already purchased their fertilizers for the upcoming growing season, according to agribusiness professor Kevin Bernhardt from the University of Wisconsin-Platteville.
But he said many producers don’t yet have the products in hand, with spring planting just around the corner.
“Even though they paid for it, they’re still at risk, potentially, to not have the actual product when they need it,” Bernhardt said.
Brian Madigan, vice president of agronomy for Country Visions Cooperative in Brillion, said earlier this spring, some ag advisors were suggesting farms take a slower approach to buying the fertilizer they need.
Click here to see more...