Drought Hammers New Mexico

Mikhail Nilov Pexels

According to The Dought Monitor, southern New Mexico is the only area in the US suffering from exceptional drought. “Exceptional Drought is defined as “exceptional and widespread crop/pasture losses, shortages of water in reservoirs, streams, and wells, creating water emergencies.”

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Fortunately, due to the makeup of the economy in the area, it is not likely to be significantly affected. Its primary industries do not include agriculture. 

Federal Reserve Of Dallas

According to the Federal Reserve Bank of Dallas, employment in and around Las Cruces primarily consists of jobs in the mining and oil businesses. Most of this is crude oil, potash, and copper. Potash is used in fertilizer. Much of the global supply came from Ukraine before Russia’s invasion, and Russia as well.

Other mining operations in .produce copper. A rise in the demand for electricity has pushed copper prices near records. It takes several years to bring new copper mines online, so those currently operating are critical to supply, which gives their owners price leverage.


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