Photo courtesy of Evanto Elements
From staff reports
Recently the U.S. The International Trade Commission imposed tariffs against phosphate fertilizer imports with the potential to have additional tariffs placed on urea as Sen. Roger Marshall, M.D. and Rep. Tracey Mann have introduced the Emergency Relief from Duties Act. This legislation should create emergency waivers for duties imposed on fertilizers for the ITC. “Fertilizers and other inputs have been at an all-time high, and the war in Ukraine promises to drive up the price of products even more,” said Iowa farmer and National Corn Growers Association President Chris Edgington. He explained that the bill would provide a path for countervailing duties for one year if there is an emergency, such as labor disputes, natural disasters, epidemics, and war situations. Edington also stated that “Fertilizers have become increasingly hard to secure and pay for because of tariffs or the threat of tariffs on imports. That’s why passage of this legislation would come as a welcome relief to farmers across the country.”
At the same time, USDA has announced that it will spend $250 million in financial support for U.S. companies to develop additional fertilizer production. The money will be in the form of grants for companies to come up with new ways to create independent and innovative fertilizer solutions that will also be sustainable in fertilizer production. USDA says that the grants should also create competition besides helping with supply chain issues. “Recent supply chain disruptions from COVID-19 to the war in Ukraine have shown us how important it is to invest in this crucial link in the agricultural supply chain here at home,” says USDA Agriculture Secretary Tom Vilsack. Fertilizer prices have more than doubled since last year because of many factors. The top producers of the major components in fertilizer include China, Russia, Canada, and Morocco. Belarus also provides a significant share of the world’s potash exports.