Serbia, Fertilizer prices are lower, but it is still expensive for farmers, News
The question is how much of it will be acquired and used for feeding wheat, which is necessary already at the end of February
Fertilizer prices are also lower on the Serbian market since last week. Most of the chemicals needed for crop feeding have become cheaper, and only Russian urea was almost 12 percent cheaper at the end of January compared to December last year, the Product Exchange in Novi Sad announced recently. Following the forums of farmers, who are currently in the phase of purchasing fertilizers, especially for the important feeding of wheat in February, we learn that many of them will not buy, let alone throw larger quantities on the fields. And less fertilizer means less yield.
According to the data of the Republic Institute of Statistics from November 2022, the price of mineral fertilizers in Serbia increased by as much as 126 percent in one year. Therefore, the farmer’s calculation shows that fertilizer is still expensive compared to previous seasons and that with the current purchase price of grain (which is falling) it would be acceptable for it to cost half as much.
– It is very logical that the use of fertilizers has been decreasing recently. In conversation with some farmers, we can hear that they cannot use as much fertilizer as necessary. We always advise them that some minimum must be used depending on the planned amount of yield. But some are not able to, so they reduce it by a certain percentage – Biljana Sikirić, from the Land Institute in Belgrade, told Politika. According to her, for wheat, nitrogen fertilization is necessary, at least two to three times at the end of winter, beginning of spring.
The situation is similar in the world and in Europe. Bloomberg recently reported that falling costs could encourage farmers to start applying more fertilizer again, boosting production, which would also have the effect of lowering food costs for consumers who have also been hit by historic inflation.
However, it is reported that fertilizer sales are still weaker globally as farmers avoid exposure to high costs while the prices of their products are uncertain. Due to the lower price of natural gas, which is the main raw material for the production of nitrogen fertilizers, their further decline is expected in the first half of the year, which was recently predicted by Rabobank’s agricultural experts.
Despite the drop in sales and export sanctions, in the first ten months of 2022, fertilizer deliveries brought the Russian budget 16.7 billion dollars (70 percent more than in the same period last year, with sales falling by 10 percent), announced in the middle of this month “Financial Times”, whose analysts attribute this situation to the increase in fertilizer prices due to the conflict in Ukraine.
Sign up for business updates & specials.
- May 11, 2023 Mining Industry, Science and Communications, bridging the gaps
- May 11, 2023 Communicating Energy, new tech industries communications
- May 9, 2023 Serbia economy briefing: Transformation of “Elektroprivreda Srbija”
- April 24, 2023 Without sustainable mining, there is no renewable future
- March 25, 2023 Europe revives mining to reduce dependence on the import of key raw materials, the advantages of Serbia as materials supplier
- March 8, 2023 Calcium Carbonate Industry, Reshaping the Market Growth, Serbian supplier to match European industrial demand
- February 28, 2023 Serbian exploitation miner Belkalhan could become EU primary supplier of Graphite critical raw material
- February 28, 2023 Calcite/calcium carbonate premium quality supplier from Serbia opening supply contracts for 24,25, pharmaceutical/chemical/food processing industry opportunity for JV
- February 16, 2023 Serbian Belkalhan calcite & graphite mining developer invites JV partners for joint critical raw materials exploitation
- February 15, 2023 Petroprocess to modernize EPS power plant CEMS system with state of the art equipment
- June 9, 2023 20 years of Microsoft in Serbia
- June 9, 2023 What does the withdrawal of the Draft Law on Business Companies mean for Serbia?
- June 9, 2023 Serbia, Returning inflation to a downward trajectory is a priority