Challenges Facing the Fertilizer Market
The current fertilizer supply and cost market is unpredictable. Even though urea is produced in Western Canada, farmers on the Canadian prairies pay some of the highest urea fertilizer prices globally due to prices set at the New Orleans port plus high shipping costs. Other factors farmers face:
- Landlocked location away from shipping lanes
- Fertilizer price volatility impacting profit margins
- Global events such as the Russian-Ukrainian war
- Exposure to exchange rates and USD pricing