This is on everyone’s mind – from the packer to the retailer to the customer.

After surviving high seed prices two years ago because of major crop failure, many thought the worst was over. But some unexpected trends swung sunflower prices through the roof in the last year. The forecast calls for even higher prices before the end of this year.

Competition for Acreage

One huge factor with rising seed prices revolves around fuel. The cost of shipping has increased considerably. A shift to different types of fuel other than oil is having an impact on seed production.

More land is being devoted to growing corn for ethanol to be used as an alternative fuel source, and there are fewer farmers growing sunflowers.

The birding and hunting communities are also losing prime wildlife habitat to ethanol production. For years, there has been the Conservation Reserve Program (CRP) where farmers can set aside land and manage it for wildlife. CRP offers annual payments, for 10 to 15 year contracts, to participants who establish grass, shrub and tree cover on environmentally sensitive lands.