How The War In Ukraine Has Thrown The Farming Industry Into A Tailspin

For more than a year, we’ve all heard about the negative impact that Russia’s invasion of Ukraine has had on various aspects of life — from energy supply to our collective sense of global order.

Another component of society has been feeling the pressure since the earliest days of the ongoing war, and it’s starting to have a ripple effect across the U.S. and beyond.

It all starts with fertilizer

Although the subject might not be at the front of most people’s minds, farmers know that without a steady supply of fertilizer, their crops won’t grow at the anticipated rate. And on a large enough scale, such an issue could have devastating consequences for the food supply.

As farmer David Isermann explained, this was exactly the situation he and others in the industry found themselves in following the outbreak of war in Ukraine.

“It totally disrupted the whole system,” he said. “Prices went up in anticipation.”

While other aspects of farming were also directly impacted by the clash between Russia and Ukraine, Isermann said that fertilizer was the biggest issue.

“The problem is that Russia and their ally, Belarus, are major suppliers of three things we use: nitrogen, phosphorus, and potassium,” he said.

When the supply from those countries dried up, prices skyrocketed.

Just one piece of the puzzle

Isermann and other farmers say the situation vis a vis Ukraine has begun to work itself out … at least to an extent.

He explained: “Prices are dropping. Grain prices are down, so people are not as aggressive on fertilizer purchases, so that kind of helps demand a little bit.”

But that doesn’t mean farmers are living on Easy Street. Issues like inflation and a shortage of workers have made this a tough time to make a living on the farm.

Chris Agee May 30th, 2023

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