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SDCUC President's Update: Fall 2023

Posted on November 17, 2023
Chad

There are always challenges in farming which could be why less than two percent of our country’s population feeds 100%. However, while some challenges such as the weather are unpredictable and out of our control, there are other challenges that can and should be questioned.

One of those things is the rising costs of fertilizer. The USDA predicted it to be 42% of an average U.S. corn farmer’s total operating costs in 2023. This has been on the mind of every farmer I meet. It has truly become a pivotal issue for us all on the South Dakota Corn Utilization Council board.

We have come to the realization that over a span of just 25 years from the 1980’s to the mid-2000’s, fertilizer production facilities have declined by 63% and even more astoundingly, the number of firms operating in this sector have decreased by 72%. To top it off, just four firms now control about 75% of nitrogen production in the U.S. and a single firm controls about 90% of phosphorus production.

What does this mean? While corn farmers are receiving less and less in return for their crops due to these high input costs, fertilizer companies experienced windfall profits. All at the expense of the American farmer.

Please know, we are working diligently to help address this concern for the corn growers of South Dakota and to safeguard when possible our ability to farm profitably.

Thank you for your continued support and loyalty to the SDCUC. I wish you and your family a healthy and prosperous harvest!

Chad Blindauer | SDCUC President | District 8

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