Every year in agriculture is unique, and it is influenced by global events. This year the war in Ukraine creates a number of narratives that affect our crop report. Farm input costs have increased dramatically because of the limited availability of certain raw materials that are orphaned in Ukraine and in Russia. The cost of select inputs has dramatically increased, and the value of the finished products like corn, soybeans, and wheat driven by cost/demand will increase as well.
Multiple raw materials have been provided to global markets by both the Russians and Ukraine. These materials' availability will be greatly curtailed or redirected for the next 12 to 18 months, causing ripples to the supply of a number of inputs and products.