The Different Factors Keeping Fertilizer Prices High for Michigan Farmers

With input costs at an all-time high, Michigan farmers may be wondering if there is a light at the end of the tunnel. Corey Rosenbusch, President and CEO of the Fertilizer Institute, says a number of different factors continue to keep fertilizer prices high.

“I still believe that we have to watch what goes on in Europe because that’s what’s going to impact supply, demand and trade flows,” says Rosenbusch.

He says there’s a lot of uncertainty about the future of fertilizer production from overseas.

Corey Rosenbusch, President and CEO of the Fertilizer Institute.

“If they aren’t able to produce nitrogen fertilizer in Europe, they’re going to have to pull that from somewhere,” according to Rosenbusch. “Is China going to lift its ban and they’re back in the marketplace? Are we going to become suddenly a nitrogen exporter because the market is going to dictate that they can get a higher premium in Europe? That that to me is where I think we’re really going to have to watch now.”

Despite much higher prices and uncertainty in the fertilizer industry, Rosenbusch says he is glad that more consumers are aware of the important role fertilizers play in bringing food to their tables.

“It’s surreal to turn on your evening news and hear people talking about how important fertilizer is,” says Rosenbusch. “We know that about 50% of the crop yields in the planet are due the fertilizer use, so I am excited that the general public is starting to understand that food production begins with good fertilizer use.”

Earlier this year, the federal government announced that half-a-billion dollars in grants will be made available to increase fertilizer production here in the U.S. in order to help drive down the overall price of fertilizer for American farmers.

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