Richmond, Va.-Southern States Cooperative Inc. reported a net income of $6.36 million for the year ending June 30, 2006, compared to a 2005 loss of $7.67 million. Sales also moved up to $1.59 billion from $1.44 billion. Sales were up due to higher fertilizer prices, which in turn crimped fertilizer margins, as the cooperative bought fertilizer when it was more expensive. Higher prices also suppressed demand and impacted actual sales. While Southern States did meet profit projections for the year, it was able to reduce debt by $33 million to $106.7 million. Debt is reportedly down 71 percent since 2002. Southern States is in a process of diversifying, not relying totally on its core farm base, expanding its home-heating and equine markets.
Transparency Across the Fertilizer Value-Chain