Missouri Corn Growers Back FTC Probe into Fertilizer Prices

By Blake Jackson

Leaders from the Missouri Corn Growers Association (MCGA) joined farmers and agricultural groups from 18 states at a town hall meeting in McKinney, Texas, to urge greater oversight of the fertilizer industry and address concerns about rising production costs.

During the event, Federal Trade Commission Chairman Andrew Ferguson announced a formal investigation into potential anti-competitive practices within the fertilizer sector.

Growers say increasing market concentration has limited competition and contributed to persistently high fertilizer prices.

“Farmers are carrying the weight of rising input costs while fertilizer companies continue posting record profits,” Missouri Corn board member Brian Willott, a corn farmer from Mexico, Mo., said following the event.

“This market is not functioning the way a competitive market should, and growers across the country are calling for transparency and accountability.”

According to industry concerns raised at the meeting, a small group of major companies, including Nutrien, CF Industries, Mosaic, and OCI, controls a large portion of the fertilizer market.

While these firms have returned billions of dollars to shareholders in recent years, farmers have faced declining incomes and increasing financial pressure.

Organizers noted that more than 158,000 U.S. farms have been lost since 2018, and no state reported an increase in farm numbers last year.

Farmers also highlighted the dramatic increase in fertilizer costs over the past several years. Urea, a key nitrogen fertilizer, averaged around $200 to $250 per ton in 2020 before soaring above $900 per ton in 2022.

Although prices later eased, they remained well above historical levels and have recently risen again due to geopolitical disruptions.

“Fertilizer is not optional. Farmers cannot produce a healthy crop without it,” said Brice Fischer, a Missouri Corn board member from Rockville, Mo.

“We have lived through two fertilizer spikes in four years, both following the same pattern: a supply disruption occurs, prices surge, and they never fully return. When a handful of companies control supply and pricing power, growers are left with fewer options and higher costs year after year.”

“This conversation is long overdue," Missouri Corn CEO Bradley Schad said. "Farmers are asking for a fair marketplace and transparency from an industry that has operated unchecked for far too long.”

Photo Credit: missouri-corn