PLANT CITY, Fla. — While gas prices are climbing, there is another ripple effect from the war with Iran.
The conflict is now hitting the agriculture industry, putting pressure on fertilizer companies and the farmers who depend on them to keep crops growing.
WATCH: Iran conflict disrupts fertilizer shipments, raising concerns for Florida farmers
For five decades, a micronutrient company, Chemical Dynamics, has been helping farmers grow their crops. David Carson who runs the Plant City business said about 30 percent of their work involves supplying nitrogen-based fertilizer to strawberry growers.
“Within Florida, most any crop that’s grown you need that nitrogen, so that’s a major source of product,” Carson said.
Many nitrogen-based fertilizers are produced in the Middle East. With the Strait of Hormuz, one of the world’s busiest shipping corridors blocked, prices are already spiking.
They jumped as much as 30 percent in recent weeks, according to the Fertilizer Institute. Surging right as farmers begin spring planting.
"Florida we grow year-round so that’s not as bad but throughout the country as you get into North Florida where they have cooler temperatures, they may only grow a single crop,” Carson said. “So, those are being affected. It's making a difference in the choices of what they decide to grow. Are they going to grow corn or soybeans? Corn requires a lot of nitrogen.”
On top of that, rising diesel prices are driving up transportation costs.
“All my container costs are going up because I’ve got to get it from the warehouse to me. All my freight going out, as I'm shipping it to other people, that freight is going up,” Carson said.
Farmers also rely on diesel to run irrigation equipment; driving costs even higher and eventually consumers could feel it.
“Corn crops and other things. What point are they sustainable? If you see less corn being grown than you might see the price of corn, go up,” Carson said.
Carson said if the conflict can be resolved within the next 30 days, then the industry should be able to recover. But if not, higher prices could ripple from the farm to your grocery bill.
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