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Evipicc t1_j1tq0nz wrote

Are fertilizer companies also showing records profits the last 2 years? I wouldn't be the least bit surprised. If that turns out to be the case it should actually be criminal.

Just looked it up... yep, record profits from the 15 largest fertilizer companies. Fucking disgusting.

https://www.google.com/amp/s/finance.yahoo.com/amphtml/news/15-largest-fertilizer-companies-world-123548121.html

https://www.reuters.com/business/fertilizer-sector-set-biggest-profits-years-russia-ukraine-conflict-2022-05-02/

Literally capitalizing on starvation. Atrocious...

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thenamelessone7 t1_j25v1vq wrote

Just to get on the same page: getting record nominal profits means diddly squat if they didn't retain their profit margin.

So I would not be so quick to pass a universal judgement on all businesses.

Also, corporations have no soul or moral compass but their ultimate owners are investors / people and feel free to appeal to them to share their dividends with poor people half way around the globe.

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Evipicc t1_j2639pj wrote

Yeah if that 'giving their dividends to the poor' was actually happening I'd be willing to accept that as a point of counter-argument.

The point of nominal profits vs growing margins is minutely valid, but the fact remains that, despite risen costs, these companies (which are responsible for food security across a great majority of the planet) are generally maintaining their same margins despite the harm it does to many.

You're right, corporations have no soul or morals, so it's almost like they shouldn't have such universal power to doom millions to food insecurity on a fucking whim.

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Whyismypponfire t1_j1uerf9 wrote

So I get that they were capitalizing on this conflict, but why is that bad? It’s not like they made the war happen, and people still need fertilizer. It’s unfortunate but there’s not much they can do except sell right? If I’m wrong tell me, but I don’t see why these companies are evil

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[deleted] t1_j1ueysu wrote

Because they're setting costs to a level that directly starves people when they don't have to.

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Whyismypponfire t1_j1ufz2a wrote

I thought the price went up for a reason, not just them being greedy? I don’t know much about economics so can you explain? They can’t just lower the price cause they want to be more affordable right?

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[deleted] t1_j1ui61y wrote

The price is determined by multiple factors, but record profits are a clear indication that they absolutely could afford to charge people less.

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There is the additional pressure of wanting to stay on the good side all the other people who profit off it.

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crumbs4manatees t1_j1ulzl8 wrote

Revenue and profits are not the same thing. Yes, their cost of operating the business may have increased. But the only way to increase profits while thats happening is to sell more (not likely if supply is struggling) or to outpace the cost of business with your own price increases. Effectively they’ve seen an opportunity to raise prices, blaming it on a conflict, and then jacked them up far beyond necessary in the name of profits.

Profit margin gives us a pretty good indicator if that’s happening. Nutrien has increased their profit margins 60% as compared to last year. CF industries - profit margins up 238%. Mosaic Co - profit margins up 44%. So yes, they could absolutely keep prices lower if they wanted. They just don’t.

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Babakins t1_j1ufdcs wrote

They put money over lives, literally. If you don’t see that as evil, I don’t know what to tell you

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