Posted on 03/15/2022 12:10:35 PM PDT by SeekAndFind
As inflation wholesale prices soar past 10 percent and gas prices continue to surge, economists and farmers across the country are warning about another looming crisis.
Farmers are seeing a fertilizer shortage. Combined with high water and fuel prices, costs are set to soar as food becomes less available.
Convo with farm today:
- Meat processors booked out a year because stockpiling beef.
- Farmers in South can’t get fertilizer for crops now.
- Farmers in Midwest are switching, can’t get nitrogen nor fertilizer.
Buckle up, folks! The media isn’t even warning you. #economy— Douglas Karr (@douglaskarr) March 11, 2022
This is from a friend who is a farmer. He told me the cost of water is becoming astronomical as well. It’s almost $800 per acre ft.
pic.twitter.com/CGEy4OGnz0— Tamika Hamilton (@TamikaGHamilton) March 14, 2022
From Market Watch:
Fertilizer prices were already running red hot this year before a European energy crisis fanned the flames, potentially adding to a pinch on farmers in the U.S. and around the world and stoking worries about food inflation.
“It’s almost like a perfect storm of different reasons that probably has a lot of upside in price for different macronutrients,” said Samuel Taylor, Cleveland-based executive director of research at Rabobank, in a phone interview.
Natural gas is a key ingredient in the process used to make nitrogen-based fertilizers used on a range of crops, including corn and wheat. Natural gas accounts for 75% to 90% of operating costs in the production of nitrogen, Taylor noted.
Do the geniuses in this “kill-fossil-fuels” administration realize that natural gas is a key ingredient for fertilizer? Natural gas accounts for 75% to 90% of operating costs in the production of nitrogen. Their war on energy is freezing AND starving us. https://t.co/4Dtsf99h8G— David Asman (@DavidAsmanfox) March 10, 2022
Some are warning the Russian invasion into Ukraine, resulting in new sanctions on the Kremlin, will make it much worse. Fertilizer companies in Russia are sounding the alarm. From Reuters:
A global food crisis looms unless the war in Ukraine is stopped because fertiliser prices are soaring so fast that many farmers can no longer afford soil nutrients, Russian fertiliser and coal billionaire Andrei Melnichenko said on Monday.
"The events in Ukraine are truly tragic. We urgently need peace," Melnichenko, 50, who is Russian but was born in Belarus and has a Ukrainian mother, told Reuters in a statement emailed by his spokesman.
"One of the victims of this crisis will be agriculture and food," he said.
CORRECTION: Russian fertilizer and coal billionaire Andrei Melnichenko said a global food crisis looms unless the war in Ukraine is stopped. We are deleting a previous video that contained an incorrect company name https://t.co/DunDNnQYVL pic.twitter.com/cIf5LHrhTO— Reuters (@Reuters) March 14, 2022
We had lots of natural gas, until some idiot decided to put a stop to fracking.
Haber Bosch Process.
You can’t create fertilizer without it and Solar-Wind-Wishes won’t do it.
Your point is taken.
Was driving around today and at a few places. A lot of folks look spooked.
Like Ferret said, it depends on what the crop is, and what the soil is like. But for most conventional farmers, their grain harvest would take a serious hit if they couldn’t get enough fertilizers. With soybeans and other legumes, the difference would be less, although in some soils it might still be enough to be noticeable. Legumes partner with microbes to pull nitrogen out of the air, but they still need other elements that a well-balanced fertilizer would provide.
And, fertilizers are only part of the equation. Most farms are reliant on other inputs, such as herbicides, fungicides, and pesticides. Those are going to be in short supply as well, which means a lot of the crops that do grow are going to be lost to pests, diseases, and competition.
In developed countries, it could get ugly. I shudder to think what underdeveloped countries are about to go through. Too many of them have gotten dependent on cheap grain and synthetic fertilizers just like the US has, but they don’t have nearly the kinds of buffers in place for when things go wrong.
Deworming agents are pretty brutal on the soil as well. They’re strong enough that the resulting manure can kill beneficial critters like earthworms.
There is enough bullshit in DC to fertilize the whole country. Biden’s diaper alone can fertilize DC.
It would not be good.
“Natural gas is a key ingredient in the process used to make nitrogen-based fertilizers used on a range of crops, including corn and wheat. Natural gas accounts for 75% to 90% of operating costs in the production of nitrogen, Taylor noted.”
“ Natural gas is a key ingredient in the process used to make nitrogen-based fertilizers used on a range of crops, including corn and wheat. Natural gas accounts for 75% to 90% of operating costs in the production of nitrogen, Taylor noted.”
So, asking for a friend, when you buy a bag of flour at the grocery store, how much of the price went to the wheat farmer?
Where the Stars Wars “It’s a trap” dude? :)
I’ll try using these numbers:
Wheat futures are $10/bushell
45 lbs of flour per bushell
For a 40lb bag of flour costing $17, the farmer gets $10, which would be 58 percent of the price.
I see what you mean, from witness accounts of downwind recipients like Duchess Camille, the amount of methane output by the flatulent pResident could offset some of that demand.
Great Post!
Farmers also use a lot of LP gas, 100% increase.
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