ERS Charts of Note

Thursday, June 20, 2013

Energy is used for agricultural production both directly, in the form of fuels and electricity to run farm machinery, and indirectly, through the use of energy-intensive inputs, such as fertilizers and pesticides employed to grow crops. From 2001 to 2011, direct energy use consistently accounted for most of the energy used in farming (63 percent in 2011). Fuel usage is the largest individual component of onfarm energy use, followed by indirect use through the energy embodied in fertilizers and pesticides. Fuel energy use increased slowly through the early 2000s before spiking in 2009 as fuel prices dropped from the previous year’s levels. In 2011, higher prices led to a decline in fuel use. As energy prices rose during the last decade, farm operators adjusted their practices to reduce both direct and indirect energy use where possible. Effective measures taken by farmers to offset higher costs include applying fewer inputs, using more efficient machinery, and reducing field operations. Indeed, during a period in which U.S. agricultural output increased by roughly 10 percent, total onfarm energy use rose only 6 percent. This chart is found in the June 2013 issue of Amber Waves magazine.

Monday, November 5, 2012

All of the leading firms in food manufacturing and agricultural input industries are multinational, offering product sales spread across several continents. One indicator of the degree of globalization of agricultural input markets is the global distribution of agricultural input sales. In 2006, member countries of the North American Free Trade Agreement (NAFTA--United States, Canada, and Mexico) accounted for about 23 percent of the global seed market and 30-36 percent of global sales of agricultural chemicals, farm machinery, animal feed, and animal health pharmaceuticals (including those for nonfood animals). The Europe-Middle East-Africa market (which is mostly Europe) had the largest aggregate seed sales in 2006, whereas Asia-Pacific countries used the most fertilizers and bought the most farm machinery. Together, Asia-Pacific and Latin America are indicative of the developing-country share of global agricultural input markets. They account for 37-51 percent of global sales of crop seed and chemicals, farm machinery, fertilizers, and animal feed. This chart is found in the ERS report, Research Investments and Market Structure in the Food Processing, Agricultural Input, and Biofuel Industries Worldwide, ERR-130, December 2011.

Friday, October 12, 2012

Nitrogen, phosphate, and potash are essential in the production of crops used for food, feed, fiber, and biofuel. Applied annually, most of these nutrients are absorbed by the crops, but when applied in excess, they can be lost to the environment through volatilization into the air, leaching into ground water, emission from soil to air, or runoff into surface water. These losses can be reduced by the adoption of best management practices that match nutrient supply for crop needs, minimize nutrient losses, and enhance plants' capability to uptake nutrients. For corn, the share of planted acres with excess nitrogen applied (above 25 percent of the crop's needs) declined from 59 percent in 1996 to 47 percent in 2010, while the share of acres with excess phosphate declined from 43 percent in 1996 to 31 percent in 2010. Other crops also exhibit either declining or unchanged shares of planted acres with excess use of nitrogen or phosphate. This chart can be found in the ERS report, Agricultural Resources and Environmental Indicators, 2012 Edition, EIB-98, August 2012.

Friday, September 28, 2012

Total pesticide use on corn, cotton, fall potatoes, soybeans, and wheat was stable during 1982-2010, increasing in some years and declining in others, with an average annual increase of 0.2 percent. Herbicide and insecticide quantities applied declined 0.2 percent and 3.9 percent per year, while fungicide and other-chemical quantities increased 3.3 and 6.0 percent. Changes in the use of pesticides during this period are due to several factors, including the widespread adoption of genetically engineered crops, the expiration of the glyphosate patent in 2000, the availability of new compounds with lower application rates, boll-weevil eradication, and changes in pesticide prices, which increased slowly compared to the prices of other inputs such as fertilizer. This chart can be found in the ERS report, Agricultural Resources and Environmental Indicators, 2012 Edition, EIB-98, August 2012.

Tuesday, May 15, 2012

Fertilizer prices paid by farmers outpaced the increase in crop prices received by farmers from 2004 to 2008, driven largely by high energy prices and input material costs. In response to record fertilizer prices in 2008, farmers reduced fertilizer consumption, which contributed to a large decline in fertilizer prices in 2010. Since then, fertilizer prices have started to climb once again, driven mainly by strong domestic demand for plant nutrients resulting from high crop prices despite a steady decline in nitrogen fertilizer input (natural gas) costs. This chart is based on the data in table 8 of the ERS data product, Fertilizer Use and Price, updated May 4, 2012.

Wednesday, January 4, 2012