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Sky-high fertilizer prices are certainly having a serious economic impact on how no-tillers will be fertilizing this year’s corn and soybean crops.
Major fertility changes are coming, according to data from our 14th annual No-Till Operational Benchmark Study that analyzed extensive data from 480 U.S. no-tillers. Here are a few of the changes growers expect to make this year to control increasing fertilizer costs with no-tilled corn and soybeans:
- Overall farm fertilizer expenditures are soaring by $38,388 compared with 2021 nutrient costs.
- No-tillers expect total per acre costs on their farms to increase to $435.77 in 2022, up from $413.43 in 2021 and $394.46 in 2020.
- Across all acres, no-tillers expect fertilizer costs to increase to $84.52 per acre in 2022, up from $60.30 in 2221.
- Higher nitrogen (N) rates will be dialed back significantly with no-tilled corn.
- More than twice as many growers in 2022 will avoid fertilizing no-tilled soybeans as in 2021.
- Urea as an N source for no-tilled corn will continue to grow while anhydrous ammonia usage continues to slip due to higher prices and safety concerns.
- Spring pre-plant applications of phosphorus (P) and potassium (K) with no-tilled corn are taking a considerable drop.
- The application of most micronutrients and macronutrients other than N, P and K continue to be strong with no-tilled corn.
- Growers expect to increase late-season foliar N applications for corn.
- The use of products to increase soil biological activity is taking a big jump this year.
44% Higher Costs
Looking at total farm expenditures, no-tillers expect to spend an average of $124,920 on fertilizer this year. This represents a sharp increase from the $86,532 spent in 2021. On a per acre basis, fertilizer expenses will average $84.52 compared with $60.30 a year ago.
The Purdue University/CME Group Ag Economy Barometer reported in early February that roughly 40% of Midwestern growers expect to reduce N application rates with corn this year. USDA’s Economic Research Service is projecting annual price increases for three primary forms of N: 235% for anhydrous ammonia, 149% for urea and 192% for 32% liquid N.
To get more bang for their N buck, our no-till survey data indicates 28% of no-tillers will apply less than 0.8 pounds of N for each bushel of corn. This is an increase from 21% of growers who applied this more efficient amount of N a year earlier. Some 48% of growers will apply 0.8-0.99 pounds of N per bushel of corn, which is about the same number of growers as in 2021. However, only 25% of growers expect to apply more than 1 pound of N for each bushel of corn, which is down sharply from 34% of no-tillers in 2021.
No dramatic changes are anticipated in N application dates with no-tilled corn. Only 14% of no-tillers applied N last fall, while 37% will apply N as a spring preplant, 62% at planting time, 71% as a sidedress application and 13% as a foliar application.
Some 46% of growers will apply 28% liquid N, 39% will apply urea and 40% will apply 32% liquid N. Some 33% will apply ammonium sulfate, 19% anhydrous ammonia and 2% ammonium nitrate.
To get more efficient returns, 64% of no-tillers will use a N inhibitor or N stabilizer. This represents an increase from 60% of growers a year ago.
Trimming Soybean Fertility
No-tillers will be cutting back dramatically on fertilizer usage this year with soybeans, much more so than with corn. In fact, 24% of no-tillers won’t apply any fertilizer to soybeans this year, an increase from only 10% of growers who didn’t fertilizer beans in 2021.
Among growers who will be fertilizing soybeans, 21% will apply N, 54% phosphorus, 61% potassium and 37% other macronutrients and micronutrients.
To make up for some of the yield loss anticipated with less fertilizer, more no-tillers will apply products to increase soil biological activity. Half of no-tillers will do so, up from 37% a year earlier.
However, there’s no evidence to indicate no-tillers expect to plant more soybeans and less corn this spring. Even with increasing fertility costs, growers see the long-term value in staying with their current crop rotations when it comes to evaluating the benefits of their highly efficient no-till programs. (For more results from this annual No-Till Farmer survey, check out pages 34-50 in this issue.)