Stephan Engster, CEO of the fertilizer and soil manufacturer Compo, predicts that mineral fertilizers for hobby gardeners are likely to become more expensive starting next year, according to reports in “Der Spiegel”. Currently, a liter of liquid mineral fertilizer costs the end customer approximately 12 euros, but this price could increase to between 13 and 14 euros.
While manufacturers have already purchased the raw materials needed for mineral fertilizers for the current season, Engster notes that there is no immediate price shock expected on the shelves. However, the supply chain presents a critical challenge. High diesel prices are pressuring shipping and distribution companies, potentially making it difficult to deliver products to stores at previous conditions. Engster stated that the current challenge is getting goods delivered punctually and without significant markups. Nevertheless, most products are currently available.
Looking at market trends, Engster points out that since the COVID-19 pandemic and the energy crisis spurred by the war in Ukraine, hobby gardeners have shifted notably towards organic fertilizers. He suggests that this trend will accelerate as mineral fertilizers become more costly, stating that the demand for organic products is on the rise. Compo currently includes about two-thirds of its potting soil and plant care offerings as organic-biological. Engster also noted that the organic market segment is growing significantly faster, averaging two to three times faster than the traditional market.
