A new report from the American Farm Bureau Federation takes a deeper look at the higher than usual fertilizer costs. AFBF economist Shelby Meyer says there are many factors contributing to higher costs, including strong domestic and global demand, low inventories and the inability of the U.S. fertilizer industry to adjust production levels. Trade and tariffs also come into play. “About 44 percent of all fertilizer is exported across the world. As tariffs have been applied on fertilizer, the U.S. has shifted to other buyers on the global market. We’ve had to pay a higher price for that which factors into the cost.” Meyer says all of the factors influencing these higher prices have long and short-term impacts. “We’ll have to monitor this and frankly, we’re not sure we’ll see prices come down in the next few months, it could be longer.”
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