More troubles on the farm: Global fertilizer markets seize up after China, Russia keep theirs at home

Fertilizer prices are soaring again, after Chinese and Russian suppliers sharply reduce exports.

Both are top producers of fertilizers, and previously supplied export markets. But China is locking up its supplies for its surging domestic market, as well as for its factory sector.

Russian fertilizers are now under sanction by the European Union, and farmers in the Eurozone are struggling to find suppliers elsewhere across the world. Since 2022, Russian exports of fertilizers are down over 80%.

American farmers are not nearly as reliant on imported fertilizers. But the shortages caused by Chinese and Russian export policy are pushing up prices by double-digits, even on US farms, as domestic fertilizers suppliers can freely raise prices to meet new market demand from Europe.

Closing scene, Xinjiang

Resources and links:

Nikkei, China export controls emerge as factor in rising fertilizer prices
https://asia.nikkei.com/business/agriculture/china-export-controls-emerge-as-factor-in-rising-fertilizer-prices

Fertilizer Outlook: Global Risks, Higher Costs, Tighter Margins
https://www.fb.org/market-intel/fertilizer-outlook-global-risks-higher-costs-tighter-margins

US Diammonium Phosphate Spot Price (Gulf) (I:USDPSPG)
https://ycharts.com/indicators/us_diammonium_phosphate_spot_price_gulf#:~:text=27%2005:47-,Basic%20Info,31.49%25%20from%20one%20year%20ago.

Fertilizer prices on the rise for farmers, ranchers
https://texasfarmbureau.org/fertilizer-prices-on-the-rise-for-farmers-ranchers/

The US Has Never Imported So Much Food
https://financialpost.com/pmn/business-pmn/the-us-has-never-imported-so-much-food

Top U.S. Food Imports by Origin Country
https://www.visualcapitalist.com/cp/us-food-imports-by-country/

2024 Farm Income Decline Confirmed in USDA Update
https://www.fb.org/market-intel/2024-farm-income-decline-confirmed-in-usda-update