Farmers have been dealing with higher input costs not long after the market for their grains got better. Fertilizer was the main concern as it jumped over 300% at one time. The essential nutrients were causing economic hardships to producers who claimed that too much of the marketplace is controlled by too few companies.
Many farmers have been holding out on making their 2023 purchases of fertilizer until they knew exactly what they needed and hoping that prices would come down. It seems to have worked because the prices are beginning to show signs of softening.
Jason Troendle is an economist with the Fertilizer Institute, and he says they have noticed this lowering trend since last fall.
One of the concerns that fertilizer companies had was supply chain related. Troendle says that those concerns are being alleviated as farmers had not seen much stability in the market.
While commodity prices are still good, farmers can offset more of their costs.
Troendle says there is no indication as to how low prices will go, or even if the trend will continue.
