The Price of Fertilizer Has Soared, May Remain High for Longer
- Mosaic doesn’t see inventories building anywhere in the world
- Company says growers will start to see affordability changing
Photographer: Jim Stem/Bloomberg
Farmers may have to get used to paying high prices for fertilizer.
Prices of critical crop nutrients such as phosphate and potash have surged since late last year amid tight supplies, strong demand and geopolitical uncertainties in key producing nations. The extent of that rise has exceeded expectations, and prices will probably remain at elevated levels for longer than previously thought “because we don’t see inventories building up anywhere,” said Corrine Ricard, senior vice president at Mosaic Co., one of the world’s largest suppliers of the nutrients. Even in Brazil, where high crop prices and a weak currency have sent farm profits to record highs, pricey fertilizers may erode the coming season’s windfall.