Global rice, corn, wheat, and coffee farmers are distorted because of the "price storm" of fertilizers

The article highlights a global surge in food prices, as reported by the UN's Food and Agriculture Organization, with the Global Food Price Index reaching its highest level since July 2011. This increase is largely due to the rising prices of cereals and vegetable oils, with wheat and coffee at their highest prices in over a decade, and corn prices also increasing significantly. A key factor contributing to this inflation is the high cost of fertilizer, which has led to reduced use by farmers, affecting crop productivity and leading to higher selling prices. The situation is further exacerbated by supply disruptions and increased production costs. In the US, the world's top grain producer, high fertilizer prices are causing concerns about reduced corn production and potential shifts in farming practices. The energy crisis is also impacting the European wheat industry, with many nitrogenous fertilizer plants reducing production due to high natural gas prices, potentially leading to limited output and grain quality in the European Union.