Fertilizer Pricing

[Nebraska]

Here's % question....

Is there a rule of thumb that anyone uses as to what the maximum % of fertilizer revenue should be the actual product cost when pricing Fertilizer Applications?

[HBFOXJr]

Ain't no such thing. Read many of my old posts.

[mowing king]

20% to 30% is standard in the fert company industry.

[greengeezer]

Actually it will vary with what you're applying.

With combination fert/pest apps, the material costs will be higher than straight fert apps. Some apps will make more money for you than others. For commercial customers we used to have,we would charge different prices for each app. depending on which app. they ordered. Residential customers were charged a flat rate.

Also slow release ferts will be slightly more expensive than all mineral ferts.

The 20 to 30% range is the max your chem costs should be.

[greensman]

20 to 30%
If it gets to the higher end shop around remember urea is a commodity.