‘Off the charts’ chemical shortages hit U.S. farms

https://www.reuters.com/markets/commodities/off-charts-chemical-shortages-hit-us-farms-2022-06-27/

By Tom Polensk
 

Soybean fields are inspected as part of University of Wisconsin research trial into whether the weed killer dicamba drifted away from where it was sprayed in Arlington, Wisconsin, U.S., August 2, 2018. REUTERS/Tom Polansek/File Photo

CHICAGO, June 27 (Reuters) – U.S. farmers have cut back on using common weedkillers, hunted for substitutes to popular fungicides and changed planting plans over persistent shortages of agricultural chemicals that threaten to trim harvests.

Spraying smaller volumes of herbicides and turning to less-effective fungicides increase the risk for weeds and diseases to dent crop production at a time when global grain supplies are already tight because the Ukraine war is reducing the country’s exports.

Interviews with more than a dozen chemical dealers, manufacturers, farmers and weed specialists showed shortages disrupted U.S. growers’ production strategies and raised their costs.

Shawn Inman, owner of distributor Spinner Ag Incorporated in Zionsville, Indiana, said supplies are the tightest in his 24-year career.

“This is off the charts,” Inman said. “Everything was delayed, delayed, delayed.”

Shortages further reduce options for farmers battling weeds that developed resistance to glyphosate, the key ingredient in the commonly used Roundup herbicide, after decades of overuse in the United States. 

Prices for glyphosate and glufosinate, another widely used herbicide sold under the brand Liberty, jumped more than 50% from last year, dealers said, padding profit at companies like Bayer AG (BAYGn.DE), BASF SE (BASFn.DE) and Corteva Inc (CTVA.N).

The U.S. Agriculture Department said it heard from farmers and food companies concerned about whether agribusinesses are hiking prices for goods like chemicals, seeds and fertilizer to boost profit, not simply because of supply and demand factors. The agency has launched an inquiry into competition in the sector, and some watchdog groups said it is moving too slowly.

Agrichemical companies blame the COVID-19 pandemic, transportation delays, a lack of workers and extreme weather for shortages. Fertilizer and some seeds are also in short supply globally. read more

SUPPLY CHAIN STALLED

More difficulties are on the horizon, as BASF, which formulates glufosinate, told Reuters the supply situation will not improve significantly next year.

“It’s going to take more time than what our customers, farmers and retailers would have thought,” said Scott Kay, vice president of U.S. crops for BASF.

Tennessee farmer Jason Birdsong said he abandoned plans to plant soybeans on 100 acres after waiting months to receive Liberty he ordered from Nutrien Ag Solutions. He ultimately received less than half his order for 125 gallons and planted corn on the land instead. Birdsong said he is better able to control weeds in corn than soybeans.

Read more at the link above~~

Reporting by Tom Polansek in Chicago, Editing by Caroline Stauffer and Matthew Lewis