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It’s about planting time across the southeast, but a major problem for farmers, a three-month drought, has really got the farmers waiting to decide when to plant, how much to plant, and markets are changing.
The war in Iran is creating some big issues, not only on the price of fertilizer, but on freight rates and fuel surcharges, and counting increases in energy costs is fueling a spike in fertilizer prices, and also cotton, probably because of the rise in polyester. Inflation risks are elevated, which will potentially be beneficial for peanut demand if they switch to cotton. The U.S. market continues to be slow and dull.
The market almost feels like it’s shut down, one broker said, and are over on a holiday. Some shellers need to sell some of the 2025 crop, because that has not been sold, and there’s no markets available right now. But it’s decision time.
New crop prices are likely to go down with the lower cost, and they were reminding farmers about planting time. The average daily soil temperature at the forage depth on peanuts should be greater than 68 degrees Fahrenheit for three consecutive days without the risk of a cold front after planting. So be careful. Cost of seed is expensive.
Audio Reporting by Tyron Spearman for Southeast AgNet.