Fertilizer Prices to Stay Elevated
From the Ag Information Network, I’m Bob Larson. A new report from CoBank says fertilizer prices are likely to stay elevated through 2028.
Jacquie Fatka, lead economist for farm supply and biofuels at CoBank, says everyone is feeling those tight margins, and fertilizer is a big chunk of that …
FATKA … “I guess in some ways, it’s good news in the sense that what we're seeing looking ahead to 2027 and 2028 is higher, but maybe not as high as we once feared. Coming into the spring and curious on really what kind of impact we would see, how long the war would last, prices shot up really fast, and we've actually seen some of those price categories come down, but we still see these prices elevated.”
There’s no question, Fatka says that farmers have to work more closely with retailers to plan their purchases during the next couple of growing seasons …
FATKA … “Without a doubt, higher prices are ahead. Producers are going to have to, again, look at where their cost of production is, and make sure that they can pencil out these higher levels. We saw really fast fills this summer. You know, summer fill is when, a lot of times, retailers will work with the producers to price out some of the 2027 needs. We saw that very brisk this summer.”
Fatka says from a farmer standpoint, there are very few things as powerful as knowing your cost of production.
