Ag Groups Call for End to Fertilizer Duties

Over 50 state ag groups and eight national organizations sent a letter to the International Trade Commission this week urging the agency to revoke the countervailing duty orders on imports of phosphate fertilizer from Morrocco.

The letter - signed by the National Corn Growers Association, American Soybean Association, National Association of Wheat Growers, National Cotton Council, National Sorghum Producers, Society of American Florists, USA Rice, US Rice Producers Association - said that continuing the duties will further worsen the dire economic conditions faced by American farmers.

"Maintaining the phosphate fertilizer [countervailing duties] will allow a small set of powerful corporations to continue to limit supply options for farmers," the letter said. "This has already prevented farmers from accessing the tools that meet their crop production needs and resulted in lower yields and negative economic impacts."

The duties stem from a decision in 2020 by ITC to impose duties on phosphate fertilizers imported from Morocco and Russia. The decision came after the U.S.-based Mosaic Company petitioned the agency to do so.

Mosaic claimed at the time that unfairly subsidized foreign companies were flooding the U.S. market with fertilizers and selling the products at extremely low prices. The petition was supported by another U.S. company, J.R. Simplot.

The duties are now being examined under a sunset review process that will determine if they should continue.

The duties have had major effects on the phosphate fertilizer market. At least one Moroccan company halted shipments of phosphate fertilizers into the U.S., which led to price hikes and tight supply conditions, saddling farmers with a hardship that has only become more dire in recent weeks with the conflict in the Middle East. Phosphate (DAP) prices peaked in 2022 during the Russia-Ukraine crisis, but have only eased moderately since, with the corn/phosphate price ratio (the amount of bushels needed to buy a ton of fertilizer) reaching record highs in 2025.

The letter said that these fertilizer companies have gained at the expense of America's farmer.

"These companies-one of which the CEOs receives $9.8 million in annual compensation-do not need import protection to keep them healthy," the letter said. "Farmers on the other hand do need help. The United States simply does not have sufficient domestic phosphate resources to meet agricultural demand on its own."

A recent letter from farmers to Mosaic and Simplot calling on them to rescind their petition went unanswered.

The sunset review will progress over the next year, culminating in a decision by the ITC to determine if the duties should continue. The final decision is expected in the spring of 2027.

Read the Letter