
A bill that would remove countervailing duties from phosphate
fertilizer imports from Morocco was introduced today in the U.S. Senate
and the U.S. House of Representatives.
Sen. Marshall (R-Kan.) sponsored the legislation, entitled the
Lowering Input Costs for American Farmers Act, and it is co-sponsored by
Sens. Chuck Grassley (R-Iowa), Cindy Hyde-Smith (R-Miss.) and Joni
Ernst (R-Iowa) with Congresswoman Mariannette Miller-Meeks (R-Iowa) and
Ashley Hinson (R-Iowa) sponsoring the legislation in the House.
“Corn farmers have been consistently vocal about the negative impact of duties on imported fertilizers,” said Ohio farmer and National Corn Growers Association President
Jed Bower. “We applaud these members of Congress – long-time farmer
allies – for taking action to address one of the issues that is causing a
hike in fertilizer costs.”
Phosphate fertilizer is an essential input for modern crop production,
used predominantly for growing corn, soybeans, cotton, and other
agricultural commodities. In the last five years, corn farmers have paid
record and near-record highs to purchase phosphate following government
action that cut off imported supplies.
In 2020, the Commerce Department, acting on a petition filed by Mosaic
Company, imposed duties on phosphate fertilizers imported from Morocco
and Russia. 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 J.R.
Simplot.
Corn growers have been critical of the process used to determine the
duties, which led to inaccurate calculations. Further, the outsized
impact of restricting phosphate imports has negatively affected farmers
across the United States. This year, the duties are being examined under
a sunset review process that will determine if the duties 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 shortages, saddling farmers
with a hardship that has only worsened in recent weeks with the conflict
in the Middle East.
Read more from NCGA here.
