WICOMICO COUNTY, Md. -- Farmers across Delmarva are feeling the impact of rising fertilizer and fuel costs as the ongoing U.S. conflict with Iran disrupts global supply chains at a critical time in the growing season.
The conflict has interrupted traffic through the Strait of Hormuz, a key passage for energy and fertilizer exports. As a result, prices for gasoline and nitrogen fertilizer, much of which moves through the region, are climbing.
For local farmers, the timing couldn’t be worse.
Right now, many are in the middle of planting corn and soybean crops, both of which rely heavily on fertilizer to ensure healthy yields. But as costs surge, farmers say the financial burden is becoming harder to manage.
"It’s a lot of money. When you're putting out a corn crop today, you're talking $800 to $1000 an acre," said Kevin Anderson, a farmer in Somerset County.
Anderson farms about 3,500 acres. If he plants corn or soybeans across all of that land, fertilizer costs alone could reach roughly $2.8 million.
Despite the steep price tag, he says stepping back isn’t an option.
"We've got so much investment already made in our equipment and our land and our inputs that we've already purchased, that we have to go forward," Anderson said.
In Wicomico County, farmer David Shockley is facing a similar reality. He's bracing for a difficult year financially, saying he doesn't expect to break even.
"Oh, I'm planning on not," said Shockley. "I'm just going to push the wheel down the road today,” Shockley said, referring to his expectations of turning a profit.
Compounding the issue is the fact that farmers can’t simply raise prices to offset higher costs. Crop prices are set on a global market, largely influenced by the Chicago Board of Trade.
"It pushes our bottom line up, so we know we can only get the commodity price. Just like oil, we get a world wide price for our crops," Shockley said.
Beyond fertilizer, fuel costs are also cutting into profits. Diesel prices continue to rise, adding another layer of expense for farmers who rely on heavy equipment throughout the planting season.
According to AAA, the national average for diesel fuel has climbed to $5.64 per gallon. Anderson says that translates to about $1,000 per tractor, per day.
With expenses mounting and little control over the prices they receive, farmers across Maryland’s Eastern Shore say they’re feeling the pressure, and hoping conditions stabilize before costs climb even higher.
