Farm Supplies Wholesalers NAICS 424910

Mar 23, 2025 - Employment Falls as Wages Rise

• Employment by farm supplies wholesalers fell 1.3% in January compared to a year ago, according to the latest US Bureau of Labor Statistics data. Employment by the industry is seasonal, typically peaking in the summer months and declining in the fall as farm activity slows. Meanwhile, average wages at farm supplies wholesalers rose 1.5% over the same period to $29.79 per hour, BLS data shows. Producer prices for miscellaneous nondurable goods merchant wholesalers, which includes distributors of farm supplies, fell 3.5% year over year in December after surging 24% in the previous December-versus-December annual comparison, per the BLS.
• The trade association for the US commercial fertilizer industry, The Fertilizer Institute, is urging the Trump administration to provide a strategic carveout for Canadian fertilizers – including designating potash and phosphate as critical minerals – to exempt them from import tariffs. Trump imposed 25% duties on most Canadian products on March 4th before announcing a one-month reprieve on some goods, including fertilizers, two days later. The US imported nitrogen, phosphorus, and potassium fertilizer products valued at more than $10 billion, more than half of which came from Canada, in 2023. Canada supplies 85% of the potash fertilizer and nearly 10% of their nitrogen fertilizer used by US growers, according to TFI. Potash prices have already risen nearly 20% this year ahead of US tariffs and phosphate prices are poised to surge more on retaliatory Canadian tariffs, Reuters reports. Higher prices for fertilizer – most farmers’ biggest input cost – would likely be passed along to growers.

• In October, the EPA announced the cancellation of all products containing the pesticide dimethyl tetrachloroterephthalate (DCPA or Dacthal) under the Federal Insecticide, Fungicide and Rodenticide Act. In August, the agency issued an emergency order suspending all registrations of the pesticide due to serious health risks – the first time in almost 40 years EPA took this type of emergency action. The pesticide is registered to control weeds in both agricultural and non-agricultural settings, but DCPA is primarily used on crops such as broccoli, Brussels sprouts, cabbage, and onions. The final cancellation prohibits anyone from distributing, selling or carrying out other similar activities for the remaining pesticide products containing DCPA as well as prohibiting using existing stocks of those products. In August, American Vanguard Corp., the only manufacturer of Dacthal, said it was working to remove it from distribution.
• The widening spread between input prices paid by farmers and what they receive for their outputs in the form of lower commodity prices is squeezing farm profits, according to Farm Progress. Current farm income instability due to inflationary pressures, high interest rates, and several supply chain disruptions have farmers facing higher input costs while receiving lower commodity prices. Moreover, as commodity prices have fallen the gap between the two widened in 2023 and 2024. The percentage change in crop output prices between 2023 and 2024 (-13.8%) is much larger than the percentage decrease in input prices (-1.38%) during that period, USDA data show. Without any relief in the form of improved crop prices, farmers will continue to suffer from cost/price squeezes, eroding farm profit margins and reducing their purchasing power, according to Farm Progress.