A nationwide survey by the American Farm Bureau Federation found that 70% of farmers said fertilizer prices are so high they will not be able to buy all they need this year.
The survey, conducted April 3-11, drew more than 5,700 responses from farmers and ranchers in every state and Puerto Rico, including both members and nonmembers. Margin of error information was not provided.
Farm Bureau economists released the analysis in a Market Intel report on April 14.
Regional differences stood out sharply.
Almost 8 in 10 farmers in the South, or 78%, said they could not afford all the fertilizer they needed.
That compared with 69% in the Northeast, 66% in the West, and 48% in the Midwest.
Prebooking rates varied as well, with only 19% in the South securing supplies ahead of planting, compared with 67% in the Midwest, 30% in the Northeast, and 31% in the West.
The analysis linked the cost increases to conflict in the Middle East and the closure of the Strait of Hormuz, which has disrupted global supplies of fertilizer and oil.
Nitrogen fertilizer prices have risen by more than 30% since tensions escalated, while urea prices have climbed 47% since the end of February.
Combined fuel and fertilizer costs increased roughly 20% to 40% during that period, and farm diesel prices rose 46% since the end of February.
Many of those surveyed said they plan to skip or reduce fertilizer applications this spring, hoping prices ease later in the season.
Ninety-four percent reported their financial situation had worsened or stayed the same over the past year, while 6% said it had improved.
American Farm Bureau Federation President Zippy Duvall said the increases compound years of tight margins.
"The skyrocketing cost of fuel and fertilizer is creating more economic hardships for farmers who have already endured years of losses. Without the necessary fertilizers, we'll face lower yields and some farmers will reduce acres altogether, which will impact food and feed supplies," Duvall said.
"It's too early to know how this will affect food availability and prices in the long run, but it's a warning light that we've shared with leaders in Washington. We look forward to working with them to find solutions so farmers can continue to feed families across America."
Spring planting decisions now hinge on access to inputs in short supply because of market disruptions.
Farm Bureau officials said they plan to discuss the findings with policymakers.
Jim Thomas ✉
Jim Thomas is a writer based in Indiana. He holds a bachelor's degree in Political Science, a law degree from U.I.C. Law School, and has practiced law for more than 20 years.
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