# An Explainer: What’s driving the cost of fertilizer? | Nutrien

> Nutrien's explainer says rising EU natural gas costs are forcing several nitrogen fertilizer producers to curtail or halt output. Nutrien is running its North American plants at maximum safe output and is developing a clean ammonia project at Geismar, Louisiana, with a final investment decision due in 2023. The company also cites COVID-era supply chain bottlenecks and the Russian invasion of Ukraine as factors in fertilizer costs.

- Date: 2022-06-06 · published 2022-06-06T12:00:00.000Z
- Category: macro · region EU · magnitude medium
- Page: https://feedsoft.ai/events/41295-an-explainer-what-s-driving-the-cost-of-fertilizer-nutrien
- Commodities: [Urea](https://feedsoft.ai/c/UREA.md)

## Why it matters

Gas-driven curtailments in Europe cut nitrogen supply, which tightens urea and ammonia markets and keeps fertilizer costs high for farmers. Higher input costs for feed grains also feed into the price outlook.

## Read by commodity

- UREA: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| UREA | 2022-01-10 | [Why the cost of fertilizer is rising](https://feedsoft.ai/events/43075-why-the-cost-of-fertilizer-is-rising.md) | -8.8% | -17.6% |
| UREA | 2022-04-06 | [Nitrogen Fertilizer Prices and Supply in Light of the Ukraine-Russia Conflict - farmdoc daily](https://feedsoft.ai/events/42133-nitrogen-fertilizer-prices-and-supply-in-light-of-the-ukraine-russia-conflict.md) | -3.9% | -24.2% |
| UREA | 2022-04-29 | [Why the Fertilizer Sector Looks Promising in 2022 \| Aranca](https://feedsoft.ai/events/9206-why-the-fertilizer-sector-looks-promising-in-2022-aranca.md) | -16.6% | -16.3% |
| UREA | 2023-07-26 | [The increase in the price of oil led to an increase in the prices of gas and nitrogen fertilizers](https://feedsoft.ai/events/7009-the-increase-in-the-price-of-oil-led-to-an-increase-in-the-prices-of-gas-and.md) | +28.9% | +17.2% |
| UREA | 2022-12-14 | [Nitrogen fertilizer prices at mercy of global issues \| The Western Producer](https://feedsoft.ai/events/38179-nitrogen-fertilizer-prices-at-mercy-of-global-issues-the-western-producer.md) | +0.6% | -12.4% |

## Sources

- nutrien.com: https://www.nutrien.com/news/stories/explainer-whats-driving-cost-fertilizer

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.