Market Forces at Play in Producing the 2012 Crop Alan Miller Craig Dobbins Bruce Erickson Purdue University is an Equal Opportunity/Equal Access institution.

Major Inputs for Crops Fertilizers Seeds Pesticides Fuel (machinery operation, crop drying) Machinery Labor 2

From Roller Coaster to Merry Go Round, Inputs Costs Rising 3

2012 Outlook6 Fertilizer Use By Region, 2010 Fertecon

2012 Outlook7 Potash Corp

2012 Outlook8 Nitrogen Fertilizer Plant in Trinidad Courtesy PCS Sales

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2012 Outlook14 Phosphorus Mining in Florida and

2012 Outlook17 Mining Potassium Deposits in Canada

Nitrogen/Corn Price Ratios from Purdue Budgets Year N Price $/lb Corn Price $/bu Ratio N price/Corn price Est

23 What is New in Seeds/Genetics New genetics/traits drive pricing Refuge in a bag Technology fees are dominating factor Tough conditions for seed production in some areas

Indiana Seed Price Trends 24

Corn Seed Cost/Gross Revenue from Purdue Budgets Year Seed Corn Cost $/A Corn Gross Revenue $/A Ratio Seed Cost/Revenue Est

Soybean Seed Cost/Gross Revenue from Purdue Budgets Year Seed Soybean Cost $/A Soybean Gross Revenue $/A Ratio Cost/Revenue Est

2012 Outlook Glyphosate (Roundup) Herbicide$29$40$43$23$17 Sethoxydim (Poast) Herbicide$74$73$83$81$83 2,4-D Herbicide$16$17$19$18 Terbufos (Counter) Insecticide (lb)$2.32$2.53$2.46$2.64$2.73 Chlorothalonil (Bravo) Insecticide$47$48$60$50$41 Price Trends of Individual Pesticides (price per gal unless noted) NASS Agricultural Prices,

2012 Outlook28 Sprayer Nozzle and Boom Control

2012 Outlook29 Planter Clutches

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