Farmers across the country facing an inflated cost in necessary tools ranging from weed-killing chemicals to fertilizer could lead to a growing grocery bill for all Americans.
The food industry has been especially strained by supply chain issues, according to the Wall Street Journal. With inflation climbing to its highest rate in 40 years in January, key agricultural product costs, including the costs of meat and eggs, have climbed 10.5%, according to the Department of Labor (DOL). (RELATED: Over 60% Of Americans Say Biden’s Policies Are To Blame For Accelerating Inflation)
It is costing farmers more money to run their farms than ever before.
Contact labor 🔺 45.1%
Fertilizer 🔺 18.8%
LP Gas 🔺 226.7%
Maintenance 🔺 89.3%
Seeds 🔺 29.1%
Insurance 🔺 33.9%Inflation fueled by overspending Democrats continues to hurt hard-working Americans.
— Rep. Barry Moore (@RepBarryMoore) February 16, 2022
Meanwhile, the cost of chemicals used in fertilizers that kill weeds, particularly Glyphosate, has increased by 250%, the WSJ reported. Supply chain issues across the globe, as well as energy restrictions and dramatic weather events, have had a serious effect on Glyphosate, the outlet noted.
Additionally, the cost of ammonia fertilizer has increased by over 200% in the past year, reaching its highest-ever cost at $1,492 per ton, according to DTN. Meanwhile, countries including China, Russia, Turkey and Egypt have all cut their fertilizer exports in 2021, which contributed to the increase in cost, the Wall Street Journal reported.
The inflated cost of farming could lead to an increase in grocery store food prices, according to the WSJ. The Farmers Business Network’s Chief Economist Kevin McNew noted that he did not believe there was “any reprieve” that would cause the price of food to drop.
“It’s not just a logistics issue, or supply-chain issue to grocery stores,” McNew said, according to the WSJ. “It’s deeper rooted than that.”