Prices for key fertilizer products, including potash and phosphates, have trended lower in 2024 but tumbling farm commodity prices are making it difficult to navigate input costs for the 2025 crop.
In this report from the Farm Progress Show at Boone, Iowa, ADM Farm Direct Fertilizer’s Chris Meyer says he and his team are having lots of conversation with growers as they try to work through the input conundrum for the new crop. “In certain situations, the numbers don’t work well with where the corn price is at,” he notes.
At this stage, Meyer believes it’s important for growers to understand their soil and potential market returns. “It’s really one of those things where growers have to know what the fertility levels are, where they can sell their crop at, and what makes the most sense if you’re going to cut back,” he says. “You want to make sure that you maximize the yields that you can get, and maximize that return on what you are going to put in there.”
Meyer says many farmers have done a good job of fertilizing their crops in past years and could draw on some of their fertility reserves to feed the crop, but with a big crop expected this fall, nutrient removal rates will have to be factored heavily into fertilizer decisions. “With those good crops, of course, they’re taking off more nutrient than they probably have in the past. So you’ve got to analyze that and figure out what’s the right replacement rate, and how comfortable do you feel that you know what levels are in your ground.”
ADM Farm Direct Fertilizer allows farmers to purchase fertilizer at market prices up to 12 months in advance of delivery. Meyer is advising farmers to keep talking with their ADM reps. “I think there’s great opportunities with it. And it’s one of those things where growers can finally be in the driver’s seat on making those fertilizer buying decisions.
“Earlier in the summer, we had some opportunities to lock in phosphates and potash going into this fall. So far they look like those are pretty good choices going into next spring,” says Meyer. “When we talk nitrogen, a lot of the guys are telling me that number doesn’t make sense… and quite frankly, I think a lot of folks are going to wait on phosphates and potash as well.” Listen to the full report below.
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