Washington, DC — Senator Chuck Grassley is calling on the USDA to issue a report that evaluates the impact of concentration in the fertilizer industry.
Grassley and Iowa’s other Republican Senator, Joni Ernst, are co-sponsoring a bill on the topic with Democratic senators from Wisconsin and Georgia.
The bill would require the USDA to produce a report within a year and review all the factors that are influencing price spikes in fertilizer costs. Phosphate prices in August were 36 percent higher than in January, and the price of potash, a key component in fertilizer, is rising as well. Trade disputes are influencing fertilizer costs as well. China quit exporting phosphate fertilizers in late 2021.
Grassley cites deals that led to U.S. beef exports to Australia and rice exports to South Korea. Senator Ernst, in a written statement, said the USDA report that’s called for in the bill would lead to a better understanding of the fertilizer industry and give farmers clarity as they plan to buy fertilizer. Many farmers apply nitrogen to fields after the fall harvest. This year, 36 percent of the operating costs for a traditional row-crop farm will be spent buying fertilizer, according to USDA projections.
KIWA Staff Photo
