Production shortage blamed for fertiliser price rise

Monday, May 14, 2007

A jump of more than $200 per tonne in fertiliser prices over the past two months is being blamed on a shortage in production.

In the wake of the autumn break, farmers across the country are trying to put crops in, but there is a critical shortage of fertiliser and sky-high prices.

Fertiliser Industry Federation spokesman Nick Drew says the merger of two major production plants in the United States has affected the supply chain.

"Most of the fertiliser for the current planting season will already have been contracted and will either be in the country or on its way here," he said.

"I think farmers will certainly be looking forward or not looking forward to the prices that they're going to be paying, but they will be the prices they're paying and I think there's very little prospect of that falling."

Sourced from ABC.