Swedish farmers are experiencing increased costs due to the Middle East crisis, with the Lantbrukarnas Riksförbund (LRF) warning of higher food prices. According to LRF chairman Palle Borgström, costs for farmers have risen by approximately two billion kronor compared to mid-February, driven by higher prices for diesel and artificial fertilizer. The war in the Middle East has impacted fertilizer production, as about thirty percent of ammonia, a key component, is produced around the Persian Gulf, and the energy-intensive process is affected by oil and gas prices influenced by the Hormuz Strait.
Meanwhile, organic farmers, such as Eva von Heideken from Fräkentorps säteri in Malmköping, are less affected by the artificial fertilizer price hikes because they use manure instead. However, they still face challenges from diesel price increases. Organic farming typically yields smaller harvests and often has higher prices, but von Heideken hopes more farmers will switch to organic production for resilience.
costs for farmers have risen by approximately two billion kronor compared to mid-February, driven by higher prices for diesel and artificial fertilizer