Sticker Shock: Farmers’ Frustration Over High Fertilizer Prices Grow as Commodity Prices Continue to Fall

Farmers are in the middle of calling input suppliers to get quotes for fall fertilizer, and the prices are shocking. The corn price to fertilizer price ratio on inputs such as phosphate are now the highest on record, and as corn prices continue to slide, it’s creating a financial hurt on farmers.

“How are we going to survive at these prices?” That’s exactly the question one farmer asked U.S. Farm Report yesterday. The farmer, who asked to remain unnamed, was quoted $1,000 per ton for potash and $850 per ton for anhydrous ammonia, which paints another dreary picture for 2026 as current futures prices won’t come close to helping farmers break even next year, either.

“If we look at what has changed since 2022, these current corn prices below $4, and then we look back to the peak in 2022 when we had prices over $8, we’re talking about a 50%, more than 50%, decline from that peak in 2022,” Swanson says.

Swanson, chief economist for National Corn Growers Association (NCGA) and Illinois farmer, says even though corn futures have been cut in half since 2022, input prices are still high.

“USDA puts out cost of production numbers for different commodities, and the average cost of reduction to grow an acre of corn is almost the same for both 2025 and 2026 as it was in 2022,” Swanson says. “So, as we look ahead, we’re talking about just a couple percent lower, which is over $900 an acre to put in an acre of corn.”

NCGA Says Fertilizer Costs Are High in the Currency of Corn

Swanson says fertilizer makes up about 40% of a farmer’s total operating costs for growing corn.

According to StoneX, the corn to phosphate price ratio hit the highest on record. A sign fertilizer prices haven’t hit their highs yet.

“MAP, DAP and potash prices have increased about 10% since the beginning of the year. If we look at those 28% and 32% solutions, we’re talking anywhere from 30% to 37% increases,” she says.

Swanson recently wrote an analysis on Fertilizer Costs are High in the Currency of Corn. She says farmers are in a tough situation with low corn prices and high fertilizer costs. The concern is elevated as corn growers look ahead to the fall and plan for the upcoming 2026 crop.

“Currently, it would take about 226 bu. to buy a ton of ammonium phosphate, and that was 180 bu. at the beginning of this year,” Swanson says. “So we’re talking about an increase of 46 bu. needed to buy the same ton of fertilizer just in this calendar year.”

(Krista Swanson, National Corn Growers Association )

She says DAP, MAP and UAN 28% all cost around 40% more bushels than the 10-year average. Anhydrous ammonia costs 20% more bushels and potash 11% more bushels.

The other concerning piece is as geopolitical tensions and trade uncertainty remain, fertilize prices could trend even higher.

“I think the signs are there that input prices for the 2026 crop than in 2025, especially when you consider the where fertilizer prices are now,” Swanson says. “We’re just now coming up on what I call input buying season.”

According to Reuters, the world’s top potash producer, Nutrien, announced during its earnings call this week the company topped Wall Street estimates for second-quarter profit. The Canadian based company cited improved demand and increased corn acreage in the U.S. as the reason.

In its call, Nutrien said potash is the most affordable crop nutrient right now, but if you ask farmers, even potash isn’t affordable compared to the price of corn.

“Fertilizer market fundamentals are supported by strong global demand, persistent supply disruptions and project delays. We have seen healthy fertilizer customer engagement and field activity in North America,” CEO Ken Seitz says in a statement.

According to Reuters, Nutrien says it expects current-year potash sales volumes to be in the range of 13.9 million tonnes to 14.5 million tonnes. That compares to what the company previously projected, which was for potash sales volumes to reach 13.6 million tonnes to 14.4 million tonnes.

What’s Fueling Higher Fertilizer Prices?

Swanson says it’s a combination of factors fueling the higher fertilizer prices, including geopolitical tensions, as well as the uncertainty surrounding tariffs. To sum it up, she says it’s:

• Lingering supply chain disruptions
• Potential input tariffs on fertilizer imports
• Geopolitical relations
• Ongoing countervailing duties (CVDs) on imports of phosphate fertilizers from Morocco into the U.S.
  

And this is not a new thing this year, she says, but something that’s been going on for several years that they’ve been advocating for a resolution to.

Corn Growers Make a Strong Plea to Trump Administration

The combination of factors causing increased fertilizer prices is something NCGA is bringing to the attention of the Trump administration. NCGA, along with 25 state-based corn grower groups, sent a letter to Trump administration officials on Aug. 1, outlining the severe economic challenges facing farmers due to high fertilizer prices.

The letter was addressed to the U.S. Trade Representative, Secretary of Commerce and Secretary of Agriculture.

“The letter was meant to explain the worsening economic situations that are being caused by elevated fertilizer prices and other inputs that are really critical to growing corn and asking for assistance in terms of how to address these input cost concerns and implement new trade deals and remove trade barriers that are part of what’s contributing to these prices,” Swanson says.

Within the letter, NCGA detailed the following key concerns:

• Elevated Fertilizer Costs: The letter highlights that fertilizers, including phosphates and urea ammonium nitrate, are significantly more expensive. Phosphates have risen by over 60% in the last decade, and urea ammonium nitrate increased by 37% since the beginning of the year.
• Low Corn Prices: This surge in input costs is compounded by a weakened market for U.S. corn, with prices dropping by 14% since the beginning of 2025 and 50% since 2022.
• Calamitous Environment: This combination of high costs and low revenue creates a “calamitous environment” for farmers, many of whom are already operating on narrow margins.
• Negative Profit Margins: Projections indicate 2025 will see negative profit margins exceeding $100 per acre due to high input costs.
• Tariffs: The letter expresses concern that antidumping and countervailing duties imposed on imported fertilizers are contributing to higher prices paid by farmers.

More than just detailing what’s causing fertilizer prices to reach historically high levels, NCGA also asked the Trump administration to act.

• Address High Costs and Tariffs: The NCGA is urging the Trump administration to address the rising fertilizer costs and to consider re-evaluating trade policies, specifically those involving tariffs on fertilizer imports.
• Support American Farmers: The letter emphasizes the need for solutions that ensure more affordable access to fertilizers and essential inputs for American farmers.
• Long-Term Policy Solutions: The NCGA also stresses the importance of developing long-term policies that shield farmers from market volatility and punitive trade measures.
• Collaboration: The letter reiterates the NCGA’s willingness to collaborate with the administration to find solutions and underscores the urgency of government intervention.

Even with high prices, booking fall fertilizer should be a priority for farmers, according to The Fertilizer Institute. You can find out why here.