Utah farmers feel economic strain as Iran war drives up fertilizer costs


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KEY TAKEAWAYS
  • Utah farmers face financial strain as Iran conflict raises fertilizer and diesel costs.
  • Urea prices surged from $500 to $860 per ton due to shipping disruptions.
  • Farmers fear higher consumer food prices; local agriculture support is encouraged.

SALT LAKE CITY — Utah farmers are facing mounting financial pressure as the economic ripple effects of war in Iran spread far beyond the gas pump.

As the spring planting season began in early April, several farmers said rising diesel and fertilizer prices have tightened already slim margins across the state's agricultural sector.

The Utah Farm Bureau and the Utah Farmers Union said the situation has worsened rapidly since the conflict began, particularly following disruptions in global shipping routes tied to the closure of the Strait of Hormuz. The waterway is a critical passage for international trade, including key agricultural inputs like fertilizer.

"We are nervous — that's a good way to describe the feelings across farm country," said Valjay Rigby of the Utah Farm Bureau.

Much of the concern centers on the soaring cost of urea, a nitrogen-based fertilizer essential for crop production.

"Before the war, we were in the $500 per ton range for urea. This morning I was quoted $860 per ton," Rigby said. The USDA listed an average of $834 per ton of urea in its latest report on Friday.

"The Strait of Hormuz… it's on the other side of the world, but agriculture really relies on world markets," said Tyson Roberts, vice president of the Utah Farm Bureau.

In addition to fertilizer costs, farmers are also grappling with higher diesel prices, which increase the cost of operating equipment during one of the busiest times of the year.

Compounding the issue is an ongoing drought and low snowpack, which have already strained production in recent seasons.

"This is the third year of a down farm economy," said Ronald Stratford, president of the Utah Farmers Union.

To cope with rising costs, many farmers said they are cutting back on purchases and hoping prices stabilize.

"Only buy what we absolutely have to right now … hoping that the prices will come down," Rigby said.

However, industry leaders warn that the financial strain on farmers could soon be passed on to consumers, potentially leading to higher food prices.

"As far as I'm concerned, food security is really national security," Stratford said. "If you want to have our own food supply, we've got to keep agriculture viable."

Farmers said if fertilizer shipments do not resume soon through the Strait of Hormuz, urea prices could double in the next few months. In the meantime, they are encouraging consumers to support local agriculture by purchasing Utah-grown products.

The Key Takeaways for this article were generated with the assistance of large language models and reviewed by our editorial team. The article, itself, is solely human-written.

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Garna Mejia, KSLGarna Mejia
Garna Mejia is a reporter for KSL.

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