Along with soaring fuel costs, Oklahomans growing crops like wheat and corn are seeing higher fertilizer prices.
A key waterway called the Strait of Hormuz carrying oil and gas has been closed as a result of the war on Iran. The passage is also crucial for fertilizers needed to produce the world’s food.
The American Farm Bureau Federation reports although the U.S. doesn’t receive a majority of its fertilizer from the Middle East region, the domestic market is responding to the disruptions from the war.
The price of a widely-used nitrogen fertilizer called urea has increased by 25% since the end of February, the federation says.
Stacy Simunek, president of the Oklahoma Farm Bureau, said farmers are already having trouble buying fertilizer for their fields. Some cooperatives in his area are out of some nitrogen fertilizers, he said.
“At this point, you can't get any unless you've had it allocated already before,” he said. “They claim they don't have it.”
As Oklahoma producers prepare to plant corn and sorghum this spring, Simunek said the price increase is piling more pressure on an industry already struggling to stay afloat. Low crop prices and high operational costs are causing economic strain for local farmers.
Fertilizer prices were already inflated before the war, Simunek said.
“It's from one side of this state to the other, there's not a farmer that’s not being affected today,” he said.
The state has already seen higher fuel costs at the pump since the war began. Data from motor club AAA show Oklahoma’s average regular gas price as of March 13 is $3.14, about 80 cents more per gallon than a month ago. The state’s highest recorded average price was $4.66 in 2022.
Diesel prices used for some farming equipment is averaging $4.18, about a dollar more than a month ago, according to AAA.
“ You go out there, and we've got two tractors running, they're 250 gallon tanks, so you can imagine what the expense is per day to run those two tractors,” Simunek said. “When it jumped a dollar a gallon, you're dumping another $500 out every day.”
Growing fertilizer costs and higher fuel prices are just the latest strain for the industry, he said. Weather fluctuations and an aging population are also causing uncertainty.
“ I don't know who's going to feed this nation,” he said. “And that scares me for the future.”
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