The perfect supply chain storm has disrupted the fertilizer market, creating a global shortage and pushing retail prices to near record highs this fall. The crisis was detailed during the House Ag Committee hearing last week on challenges to the food supply chain.
Bob Larson, Marketing Manager with Nutrien Ag Solutions says retail prices for many nitrogen products have more than doubled from a year ago, with anhydrous ammonia around $980 per ton on a national average last week.

He says potash and phosphate are also up substantially, with potash at $730 per ton on a national average.

The price spike is a result of higher grain prices, but also a host of other issues including China’s fertilizer ban, 7-year highs in natural gas which are tightening supply, plus logistical issues, including those tied to Hurricane Ida damage. Those factors are limiting the availability of fertilizer and Larson says supplies may contract more by spring.

And Larson says that could continue to push fertilizer prices higher.

Farmers are advised to line up their fertilizer needs as soon as possible for spring or they may not be able to get product, no matter what price they’re willing to pay.