Surging fuel and fertilizer costs are hurting the potato industry

June 08, 2008
Surging fuel and fertilizer costs are hurting the potato industry, even though potato prices are good, the executive director of the Colorado Potato Administrative Committee says.

Three years ago, cost of production in the San Luis Valley was about $4 per 100 pounds of potatoes, said Jim Ehrlich. Today, it is more than $7 per 100 pounds.

Rising fuel prices have raised costs for transportation, freight, chemicals and nitrates, he said. Meanwhile worldwide demand for fertilizer has surged, pushing prices upward.

Chris Sittler of Stone's Farm Supply said it cost a potato farmer last year an average of $90 an acre for starter fertilizer. This year, the cost is almost $300.
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