Katrina and Rita are names that turfgrass growers will long remember.  As the storms approached, growers were busy with preparations for high winds and rain.  Most escaped that damage but were hit with huge increases in fuel costs as a result of damage to the oil and gas industry.

            Diesel and gas prices not only affected the production costs but also are affecting delivery costs dramatically.  Current diesel prices translate into over sixty cents per mile for fuel alone.  Fuel costs are not the only item being affected by the disruption to production and refineries.  Since natural gas is used to make nitrogen fertilizer, shortages of fertilizer are being reported.

            One fertilizer representative put it this way:  “With natural gas prices near $15, no one is going to make nitrogen fertilizer because nobody will buy it at the price it costs to make it”. 

            Hurricane Rita caused fertilizer manufacturers in Texas to shut down and it is taking a while to get them back on line.  Dr. Larry Unruh with American Plant Food says they shut down their Freeport plant down prior to Rita’s anticipated landfall.  Although it ended up going in east of them, it took about 10 days to get it up and going again.  He estimates that they lost 20-30,000 tons of production during that period.  “You just don’t flip a switch and get them going again.  It takes a while,” he said.

            Another factor relating to fertilizer cost and availability is the shortage of sulfuric acid.  It is used to react with rock phosphate to produce the phosphorus for fertilizer.  There is apparently a nationwide shortage of the nutrient.

            There are reports of efforts being made by elected officials in the MidWest to have some natural gas allocated for agriculture.  With prices as high as they are, some manufacturers can make more money by shutting down their fertilizer plants and selling the gas to other users.  There is fear that if we experience a cold winter, little natural gas will be available for fertilizer.

            Dr. Unruh expects that they will be caught up on orders for 21-0-0 by next spring.  They are currently having more orders than they can fill. 

            Sod growers may want to review their fertilizer practices in light of the shortage.  Customers who demand high quality will still want that quality.  Some growers might want to consider limiting full fertility to those fields which will bring premium prices.

            Fertilizer shortages could lead to lower inventory next spring as it will take longer for the fields to grow back following harvest this year.  While increased fuel prices have reduced profits in the sod industry, increased costs for fertilizer will likely do so in the months to come.  Sod prices will need to increase dramatically to cover the additional expenses.