Fertilizer is a major good moved through Hormuz. Given that we tariff’d Canadian fertilizer, and given that Ukraine is in an existential fight against terrorists (and fertilizer comes from there, too), it’s a major factor. Also, immigration! Just because they have stopped the major intervention events doesn’t mean that the fear impact on immigrants has stopped.
Yes, weather and water availability (mentioned in the report) play a role, but over the longer run.
I live in a large, ag producing area (one of the top in CA). And our food inflation in March was 1.5x that of the national average (3.5 compared with 2.1). It’s coming; as the Purdue economists note, May (but more likely June) could be bad.
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Fertilizer is a major good moved through Hormuz. Given that we tariff’d Canadian fertilizer, and given that Ukraine is in an existential fight against terrorists (and fertilizer comes from there, too), it’s a major factor. Also, immigration! Just because they have stopped the major intervention events doesn’t mean that the fear impact on immigrants has stopped.
Yes, weather and water availability (mentioned in the report) play a role, but over the longer run.
I live in a large, ag producing area (one of the top in CA). And our food inflation in March was 1.5x that of the national average (3.5 compared with 2.1). It’s coming; as the Purdue economists note, May (but more likely June) could be bad.