-ADVERTISEMENT-


Posted 1/24/01

Farmers add fertilizer costs to list of injustices

Skyrocketing natural gas prices have almost doubled the cost of nitrogen fertilizer for this yearís corn crop, adding to the long list of financial challenges for farmers.

Thereís also concern about a possible nitrogen fertilizer shortage, says Blue Earth County educator Kent Thiesse of the University of Minnesota Extension Service.

ìAnhydrous ammonia is the most common source of nitrogen fertilizer for corn,î says Thiesse. ìThe cost of anhydrous ammonia, which is derived from natural gas, has almost doubled in the past 12 months.î

ìCurrent prices for anhydrous are about 22 to 25 cents per pound, compared with 12 to 13 cents per pound in January of 2000,î Thiesse said. ìThe price increase will add $15 to $20 per acre to production costs for this yearís crop. With prices also up for fuel and other inputs, itís very hard to project a profit on corn in 2001.î

Thiesse cites the following strategies to consider regarding nitrogen for the 2001 corn crop:

ïFine-tune nitrogen rates for corn and apply at the University of Minnesotaís recommended rates.

A soil nitrate test this spring can show how much soil nitrogen is available so you can adjust nitrogen rates accordingly.

Nitrification inhibitors such as N-Serve may help reduce soil nitrate losses and allow lower nitrogen fertilizer rates.

Other sources of nitrogen, such as urea or ammonium nitrate (28 percent), may be cost competitive with anhydrous this year.

ïConsider livestock manure as an alternative to meet all or part of the nitrogen needs for corn.

Liquid hog manure from a pit can contain 35 to 40 lbs. of nitrogen per 1,000 gallons. If the manure is incorporated or injected, approximately two-thirds of the nitrogen is available to the crop the first year.

Test the manure before application so you know the exact nutrient content and can adjust application rates accordingly.

ïIf you have not yet applied nitrogen for 2001 corn, consider switching some of the intended corn acres to soybeans.

Soybeans typically donít need nitrogen fertilizer and have a much lower production cost than corn. The lower production cost coupled with a more favorable government loan rate make it easier to project a profit from soybeans than from corn in 2001.

ìHowever, switching corn acres to soybeans may be a high-risk strategy,î according to Thiesse. ìContinuous soybeans tend to have a higher incidence of soybean cyst nematode, disease, and insect problems that can reduce yields.î

ìAlso, if there is a large switch from corn to soybean acres nationwide, soybean prices could weaken and corn prices could strengthen,î he said.

Thiesse recommends working with crop consultants and agronomists to review nitrogen strategies for 2001 corn.

©Post Review