# Why the Fertilizer Sector Looks Promising in 2022 | Aranca

> Fertilizer prices rose sharply over the past year, with urea up 122.1% year on year and potash also significantly higher in February 2022. The article attributes the rise to post-pandemic demand recovery, higher natural gas costs, and export bans by Russia and China.

- Date: 2022-04-29 · published 2022-04-29T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/9206-why-the-fertilizer-sector-looks-promising-in-2022-aranca
- Commodities: [Corn](https://feedsoft.ai/c/CORN.md), [Urea](https://feedsoft.ai/c/UREA.md), [Potash (KCl)](https://feedsoft.ai/c/POTASH.md), [Natural Gas](https://feedsoft.ai/c/NATGAS.md)

## Why it matters

Persistently high fertilizer costs squeeze grain margins and support corn and wheat prices as farmers may cut application rates, affecting yields and feed supply.

## Read by commodity

- CORN: bullish ▲
- UREA: bullish ▲
- NATGAS: bullish ▲
- POTASH: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| CORN | 2022-05-11 | [Fertilizer prices expected to remain higher for longer](https://feedsoft.ai/events/41325-fertilizer-prices-expected-to-remain-higher-for-longer.md) | +2.4% | -0.3% |
| CORN | 2022-09-02 | [Fertilizer Costs Are Surging Again Just as US Farmers Look to Buy - Bloomberg](https://feedsoft.ai/events/39880-fertilizer-costs-are-surging-again-just-as-us-farmers-look-to-buy-bloomberg.md) | -0.6% | -1.6% |
| CORN | 2022-04-25 | [High fertilizer prices contribute to rising global food security concerns \| IFPRI](https://feedsoft.ai/events/41764-high-fertilizer-prices-contribute-to-rising-global-food-security-concerns-ifpri.md) | +0.4% | -2.0% |
| CORN | 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) | -1.9% | -6.1% |
| CORN | 2022-01-19 | [High natural gas prices could lead to spike in food costs through fertilizer link \| S&P Global](https://feedsoft.ai/events/43069-high-natural-gas-prices-could-lead-to-spike-in-food-costs-through-fertilizer.md) | +2.1% | +6.9% |
| 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 | 2022-01-21 | [The Fertilizer Crisis Is Getting Real for Europe Food Prices - Bloomberg](https://feedsoft.ai/events/43072-the-fertilizer-crisis-is-getting-real-for-europe-food-prices-bloomberg.md) | 0.0% | -8.0% |
| UREA | 2022-06-06 | [An Explainer: What’s driving the cost of fertilizer? \| Nutrien](https://feedsoft.ai/events/41295-an-explainer-what-s-driving-the-cost-of-fertilizer-nutrien.md) | -1.9% | +0.7% |

## Sources

- aranca.com: https://www.aranca.com/knowledge-library/articles/investment-research/fertilizer-sector-outlook-2022

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