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High gas, fertilizer prices impact landscapers
Rising gas prices and a global spike in fertilizer costs are putting pressure on lawn care companies, costs that could soon be passed along to homeowners. FOX 13's Genevieve Curtis reports.
TAMPA, Fla. - If you’re proud of your green lawn, you may soon have to pay more to keep it that way.
Rising gas prices and a global spike in fertilizer costs are putting pressure on lawn care companies, costs that could soon be passed along to homeowners.
Gene Caballero, co-founder of GreenPal, describes his company as the "Uber for lawn care," connecting homeowners with local lawn service providers. But right now, he says those businesses are feeling the squeeze.
Big picture view:
"We're seeing a lot of increased prices. A lot of that has to do with rising fuel costs," Caballero said.
Fuel is a major expense for lawn care crews, from the trucks they drive to the equipment they use, cutting into profits in an industry that already operates on thin margins.
"The truck they pull the trailer with runs on gas, the equipment in the trailer runs on gas, everything they touch is running on gas," Caballero said.
But it’s not just fuel driving prices higher.
By the numbers:
A global increase in fertilizer costs is adding to the strain. The Strait of Hormuz handles nearly a third of the world’s nitrogen-based fertilizer trade. Amid ongoing tensions involving Iran, nitrogen fertilizer prices have risen between 30 and 50% nationwide.
"When that price goes up, these vendors can absorb it a little bit — but if it continues, those costs are going to be passed on to the homeowner," Caballero said.
What you can do:
For homeowners, that could mean sticker shock this summer.
Caballero says some customers are already looking for ways to cut costs — like mowing less frequently or skipping fertilizer altogether.
"They can just kind of leave the lawn and let it grow… and not pay those extra costs for fertilization," Caballero said.
Others may consider taking lawn care into their own hands.
"They can spend a couple hundred dollars, get a mower and mow it themselves," Caballero added.
Caballero said you can also shop around for different rates on their Tampa platform.
The Source: Information for this story was gathered from an Interview with the co-founder of GreenPal, industry data on fertilizer supply routes and pricing trends involving the Strait of Hormuz, and past FOX 13 News reporting.