Stephan Engster, the CEO of the fertilizer and soil manufacturer Compo, predicts that mineral fertilizers for hobby gardeners are set to become more expensive starting next year, citing the current conflict in Iran. In an interview with “Der Spiegel”, Engster estimates that a liter of liquid mineral fertilizer currently costs end consumers about 12 euros, but this price could rise to between 13 and 14 euros.
While manufacturers have already purchased the necessary raw materials for the current season, Engster noted that consumers should not expect an immediate price shock in the garden centers. However, the supply chain remains a critical concern. The high price of diesel fuel is putting significant pressure on shipping companies, complicating delivery in their usual terms. Engster stated that the main challenge is ensuring products reach stores promptly and without excessively high surcharges, though he confirmed that most products are currently available.
Beyond pricing and logistics, Engster identified a clear consumer trend. He pointed out that since the coronavirus pandemic and the energy crisis stemming from the Ukraine conflict, hobby gardeners have shown a distinct preference for organic fertilizers. Coupled with the rising cost of mineral products, this preference for biological options is expected to grow. Furthermore, when looking at soil and plant care products, two-thirds of Compo’s current range is already organic or bio-based. Engster added that the organic sector, on average, constitutes two to three times faster growth compared to the traditional market.