T i
'M z
Mol-MixLPS
liquid supplements
Lush grass is packed with extra energy—energy
that really puts on those extra pounds Dry,
brown grass lacks the nutrients needed in
producing maximum gams The following chart
shows how grass varies in feeding value as the
season progresses:
PROTEIN CONTENT IN NATIVE GRASS
Mol-Mix® is loaded with the nutrients dry
grass lacks proteins, minerals and vitamins
that cattle need to put on those
EXTRA PROFIT POUNDS!!
MARTIN’S AG SERVICE NORTHAMPTON
c/oJohnZ Martin FARM BUREAU
New Holland, RD 1
Phone - 7 1 7-354-5848 Tatamy, P A
Phone 71/3545848 Phone-215-258-2871
Mttßlti MILL
THOMAS FARM SYSTEMS, INC. i ss^S ier - pa -
V V | Ur-x
Namoico
3«n DC UO< OEC JAN
2025 HORSESHOE RD., LANCASTER, PA I “
PH: 717-299-1706 1 “ Y
Fertilizer use for 1980
probably will decline
WASHINGTON, D.C
U.S. fertilizer use may
decline by three to seven
percent during the fertilizer
year ending this June 30.
According to a supplement
to the Fertilizer Situation to
be issued by the U.S
Department of Agriculture,
greater-than-expected in
creases in prices farmers
pay for fertilizer, energy,
and interest relative to crop
prices, combined with tight
farm credit, will discourage
fertilizer use this spring.
Most forecasts made in late
1979, including USDA’s, had
called for a moderate in
crease in use this fertilizer
year.
Net domestic supplies of
fertilizers are expected to be
about 14 percent higher this
year. So, if the usual strong
spring demand for fertilizer
fails to materialize, prices
could level off and possibly
begin to decline, especially
phosphates, before the
planting season is finished.
The supplement, prepared
by USDA’s Economics,
Statistics, and Cooperatives
Service, notes that use of
phosphate fertilizer is ex
pected to decline most
severely, perhaps by 7 to 13
percent.
i!ISS
« ***«
Potash consumption may
fall by three to seven percent
while nitrogen use may
equal last year’s level or fall
by as much as three percent.
Current increases in farm
prices for fertilizer are the
largest since the 1974-75
fertilizer year, when use of
the three primary nutrients
declined about nine percent,
with nitrogen down six
percent and phosphate and
potash each down 12 percent
After early optimism and
a brisk fall season, the
current fertilizer year has
recently begun looking much
processing
grain
SEE
like 1974-75. Although March
1980 fertilizer prices had not
increased as much as in 1975,
and 1980 gram prices have
not declined as in 1975, other
negative factors influencing
fertilizer demand are more
severe
Net farm income
prospects are down from a
year earlier due to a 12
percent annual increase in
the overall cost of production
inputs measured in March
1980, versus nine percent in
1975. Cost increases have
been especially high for
energy, up 61 percent, and
fertilizer, up 29 percent
Interest rates on
production loans are up
sharply from a year ago and
credit supplies are tight,
particularly in several
Midwestern states
Current economic con
ditions indicate the reduc
tion in fertilizer use this
spring will be at least as
severe as in the spring of
1975. However, since many
farmers who anticipated
higher spring prices bought
more fertilizer than usual in
the fall and winter, con
sumption of plant nutrients
for the first seven months of
the fertilizer year was up
substantially.
This strong early
movement will probably
prevent the decline in
consumption for the entire
fertilizer year from
repeating the record decline
of 1974-75, when use began
decreasing during the fall
and winter months
May 1980 farm level prices
for fertilizer could average
about 24 to 26 percent higher
than a year earlier. These
increases stem from im
proved domestic demand m
the early months of the
fertilizer year, strong export
demand, and rapidly rising
or
elevating
Soooo
PLEASE CALL ABOUT
Lancaster Farming, Saturday, May 10.1980—021
production, transportation,
and retailing costs The
expected decline in fertilizer
use will probably cause a
leveling off of prices and
possibly some declines,
especially for phosphates,
before the end of the current
fertilizer year
Nitrogen prices in May are
likely to average 20 to 22
percent over May 1979,
reflecting strong world
demand and the pass
through of rising production
costs, especially for natural
gas, in the United States and
worldwide
Prices of phosphate fer
tilizers were up the most in
the first nine months of the
current fertilizer year, and
May 1980 prices will
probably average 36 to 38
percent above a year earlier.
However, the rapid price
increase experienced
through March probably will
not continue through May.
Wholesale prices have
already begun to weakem
Potash prices m May are
likely to be 19 to 21 percent
higher .than a year earlier.
Supplies of fertilizer
materials this spring are
expected to be ample
relative to use. Production of
all three nutrients durmg the
1979-80 fertilizer year are
expected to exceed year
earher levels, and producer
inventories may increase
durmg the last half of the
year
Production of nitrogen
fertilizer materials durmg
July-December 1979 was
ahead of the year-earlier
pace, with anhydrous am
monia production up 10
percent, and output of urea
and nitrogen solutions up 28
to 13 percent, respectively.
Increased production of
phosphate fertilizer
materials compensated for
STATE
generally lower inventories.
July-December 1979
output of phosphonc acid
and diammonium phospate
was up 8 and 11 percent.
Combined U.S and
Canadian potash production
from July 1979 through
February 1980 was 12 per
cent over a year earlier.
Inventories were down, but
from higher than normal
levels.
On February 5, the
Secretary of Commerce
announced the suspension of
phosphate exports to the
Soviet Union, an action
taken in the interests of U.S.
foreign policy. On March 20,
the International Trade
Commission determined
that anhydrous ammonia
imported from the Soviet
Union was not causing
disruptions in the U.S.
market, and no quotas were
recommended to restrict
Russian ammonia imports.
The phosphate export
suspension will modestly
increase supplies of
phosphate materials in the
U.S. market, thus slowing
the upward movement of
prices in 1980. Thus far the
Soviet Union has been
willing to continue shipping
ammonia to the United
States despite the embargo
on phosphate shipments to
Russia.
Although actions by
longshoremen could still
restrict the future arrival of
Russian ammonia, court
injunctions have ordered the
International Longshorem
en’s Association to unload
ammonia vessels. Arrival of
the Russian ammonia should
cause ammonia spot prices
to stabilize now that some of
the uncertainty about its
availability has diminished.
Unrestricted arrival of
this ammonia will enable
Florida and North Carolina
ammoniated phosphate
producers to resume full
production, and prices for
these products should be
more stable as a result.
PHONE