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Propane shortage affects Midwest farms

A propane shortage is affecting much of the Midwest and the severely cold weather has compounded the problem for agriculture.  Missouri Farm Bureau President Blake Hurst says prices went up 70 cents a gallon for propane earlier this week.  He tells Brownfield Ag News, “There’s some real concern for people in the poultry industry, people in the greenhouse industry – like on our farm. Not only are the prices so high we can’t possibly be profitable but that we won’t have enough to keep our animals alive. It is a real serious situation.”

Hurst says there are other factors involved including skyrocketing exports of propane.  Also, he says, “We had a wet and late corn harvest and farmers used a lot of propane for drying and now we’re suffering through a cold winter. We’re hearing reports of shortages. We’re hearing reports of poultry producers who have contracted for propane and now their suppliers are not fulfilling the contract.”

The U.S. Energy Information Administration says propane supplies are extremely tight in the Midwest and the spot price in Conway, Kansas “has spiked far above the Gulf Coast spot price.” The bid on propane at $4.34 per gallon was offered at $5 in Conroy, Kansas.

Hurst says the Missouri Farm Bureau is talking with MFA and other suppliers in the state who are “working hard to protect and help all of their farmers.”

AUDIO: Tom Steever interviews Blake Hurst (2:00 mp3)

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