Guno צְבִי
We fight, We win, Am Yisrael Chai
Tennessee farmer Todd Littleton is thousands of miles from the Strait of Hormuz, but he’s seeing the early fallout from the shipping lane’s effective closure as fighting continues in and around Iran.
The turmoil couldn’t have come at a worse time, as planting season starts. Littleton has 4,000 acres for corn C00, wheat W00 and soybeans S00. Now he’s facing an unplanned $50-per-acre increase in the cost of nitrogen, a critical fertilizer, for his corn crop. Diesel fuel is up 50 cents a gallon, he said, and the natural gas NG00 used to heat the Gibson County farmer’s poultry houses is more expensive too.
Americans are about to get a crash course in the global economy — and it’s not just about oil supply. Rising costs for fertilizer, feed, packaging and shipping are going to seep into the prices that people see on grocery shelves, experts say.
Shoppers could pay 15% more by the fall for coffee, tea and chocolate CC00, said Lempert. “Expect more pressure as the global 10% duty applies across many origins and as freight and insurance premiums rise on disrupted trade lanes,” he noted.
Bananas, mangoes, pineapples and off-season berries and vegetables are all exposed to higher input costs, Lempert added, and consumers could pay between 5% and 20% more by the fall, depending on produce origin.
The turmoil couldn’t have come at a worse time, as planting season starts. Littleton has 4,000 acres for corn C00, wheat W00 and soybeans S00. Now he’s facing an unplanned $50-per-acre increase in the cost of nitrogen, a critical fertilizer, for his corn crop. Diesel fuel is up 50 cents a gallon, he said, and the natural gas NG00 used to heat the Gibson County farmer’s poultry houses is more expensive too.
Americans are about to get a crash course in the global economy — and it’s not just about oil supply. Rising costs for fertilizer, feed, packaging and shipping are going to seep into the prices that people see on grocery shelves, experts say.
Shoppers could pay 15% more by the fall for coffee, tea and chocolate CC00, said Lempert. “Expect more pressure as the global 10% duty applies across many origins and as freight and insurance premiums rise on disrupted trade lanes,” he noted.
Bananas, mangoes, pineapples and off-season berries and vegetables are all exposed to higher input costs, Lempert added, and consumers could pay between 5% and 20% more by the fall, depending on produce origin.
