Mid-County Newsletter MC.newsletter.fall17 | Page 5

AGRONOMY AGRONOMY 952-466-3730 A day on the job with Steve Salz and Don Gibson What is a typical day working for Mid-Coun- ty Agronomy? For Steve Salz, a Mid-County Agronomy Sales staff member, that’s a tough question to answer. “I’m all over the place,” he said. Salz’s position in the agronomy sales team is “support,” making him a go-to person for an assortment of tasks. He estimated that about Steve Salz 40 percent of his work is spent in sales, while Agronomy Sales the rest of the time he’s often doing mapping, (952) 466-3730 soil sampling preparation, and custom appli- cation. He also works with the Mid-County crop management program. When farmers have an issue in their field, it’s likely Don Gibson, also a Mid-County Agron- omy Sales staff member, will be able to help as well. As a certified crop advisor, Gibson is often called to check out problems, such as plant diseases, weeds, or insect infestation. Gibson has 30 years of experience in this type of work. A normal workday for him might include making farm plans, troubleshooting specific plant problems, or helping customers find the best products and services for their needs. Don Gibson Agronomy Sales (952) 466-3730 A look at the nitrogen market Around the world, the nitrogen supply has gone up big time in recent years. This has left many farmers wondering what’s in store for the future of fertilizer. Here are some answers that might help: Does all the nitrogen fertilizer made in North America stay here? No, sometimes the suppliers find it more advantageous to ship elsewhere. Exports to South America, for instance, can make financial sense because of the different timing for grow- ing seasons. Scott Nelson Does North America have a huge Agronomy Manager supply of new nitrogen coming online What will happen to nitrogen capacity additions in the fu- ture? Experts believe that 2016 was the high point for glob- al nitrogen capacity additions. Other projects have broken ground in North America, but it will be four to five years before they’re completed. (952) 466-3733 soon? The new supply isn’t as large as [email protected] some may have predicted previously. Up until about five years ago, North America had a large number of announcements about new nitrogen supply be- ing built. CropLife reported that 25 projects were announced, which would have added more than 15 million tons of nitro- gen in the region. However, as of the beginning of this year, only seven of those projects are on track for completion, four of which are focused on ammonia for industrial use. That doesn’t mean that North America won’t have a signifi- cant nitrogen supply increase in the future, though. New nitro- gen capacity is being added to bring levels back to where they were in 2000, which is still far below the early 1980s. Will North America continue to depend on nitrogen im- ports? Yes, for now, North America will still need to rely on other countries to supply its nitrogen needs. Even with all the new capacity, CropLife estimates that 30 percent of this year’s nitrogen use will be from imports. The new capacity will help to displace some imports, though. Global nitrogen fertilizer manufacturer/distributor CF Indus- tries, for example, has increased its shipments to the US East Coast, which directly competes with foreign imports. www.midcountycoop.com As new capacity has come online, capacity that has a high cost has gone offline. China (the world’s largest region for ni- trogen consumption) added 40 million metric tons of new ni- trogen capacity in the past five years, while closing about 26 million metric tons of higher-cost nitrogen capacity. When will nitrogen demand catch up with nitrogen sup- ply? Worldwide, the demand for nitrogen increases by about 1.5 to 2.5 percent each year, due to both industrial use and farmers’ needs. Currently, the nitrogen industry has more sup- ply than demand, but it’s expected to get more balanced start- ing in 2018. Getting ready In preparation for fall variable rate application of P and K, Mid County Agronomy staff are ready to load their Case IH Airfl ow from the Mid County fertilizer blending tower. Page 5