April 30, 2026
WASHINGTON, D.C. — A widening gap in market exposure is emerging between large-scale and small-scale operations as fertilizer prices see a dramatic spring spike. A recent Farm Bureau survey highlights that nearly 78% of producers in the Southern U.S. report being unable to afford their full required nutrient inputs this season.
National security concerns are mounting as urea prices surged 50% and ammonia climbed over 30% in just one month. Data shows that while 77% of large farms (over 2,500 acres) successfully pre-booked their fertilizer needs to hedge against these spikes, only 16% to 25% of smaller operations (under 500 acres) were able to do the same. This disparity leaves small-scale growers significantly more exposed to in-season price volatility, risking reduced yields and further tightening already razor-thin net farm income margins.
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