is part of the Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

  • American Agriculturist
  • Beef Producer
  • Corn and Soybean Digest
  • Dakota Farmer
  • Delta Farm Press
  • Farm Futures
  • Farm Industry news
  • Indiana Prairie Farmer
  • Kansas Farmer
  • Michigan Farmer
  • Missouri Ruralist
  • Nebraska Farmer
  • Ohio Farmer
  • Prairie Farmer
  • Southeast Farm Press
  • Southwest Farm Press
  • The Farmer
  • Wallaces Farmer
  • Western Farm Press
  • Western Farmer Stockman
  • Wisconsin Agriculturist
Corn+Soybean Digest

Higher Fertilizer Prices On The Way

With higher natural gas prices, almost double from last year, “we have to worry about fertilizer prices going up,” says George Rehm, University of Minnesota soil scientist.

In fact, as long as natural gas prices stay above $5/million BTUs, expect nitrogen prices to be “considerably higher” this fall, says John Douglas, fertilizer consultant from Florence, AL.

Compared to last fall, he predicts you'll pay $100/ton more for anhydrous, $50/ton more for urea and $30-40 more for urea ammonium nitrate. Currently, much of the nitrogen is being imported from countries like Brazil, Russia and Canada.

The volatility of natural gas prices, a major cost in making nitrogen fertilizer, have been rising, says Kathy Mathers, vice president of public affairs at The Fertilizer Institute.

She says the average price of natural gas in 1998 was $2.10/million BTUs; $3.06 in 2000; $3.20 in 2002 and $5.60/million BTUs in June of this year.

The National Corn Growers Association is urging legislators to examine policies that would increase the supply of natural gas. Demand has skyrocketed in recent years because of utilities shifting to natural gas to meet clean air requirements.

Hide comments

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Publish