The U.S. Department of Agriculture said on March 11, 2022 that it will make $250 million available through a new grant program to support independent fertilizer production in the USA.
USDA said fertilizer prices had more than doubled in a year. It pointed to the war in Ukraine, limited mineral supply, high energy costs and reliance on imports. The USA is the second or third largest importer of each of the three major fertilizer components, the department said.
What the program will fund
- Production outside the dominant fertilizer suppliers, to add competition.
- Fertilizer produced in the USA by domestic companies.
- New production methods and more sustainable products.
- Projects that help U.S. farmers.
The money comes from the Commodity Credit Corporation. USDA said the grant program would open in the summer of 2022. It also opened a public inquiry into competition in fertilizer, seed and retail markets.
“The planned investment is one example of many Biden-Harris Administration initiatives to bring production and jobs back to the United States.”
Tom Vilsack, Secretary of Agriculture
FAQ
How much is USDA offering?
$250 million in grants.
Where does the money come from?
The Commodity Credit Corporation.
When was the program set to open?
In the summer of 2022.
Source & credit
Source: U.S. Department of Agriculture, March 11, 2022: “USDA Announces Plans for $250 Million Investment to Support Innovative American-made Fertilizer to give US Farmers more choices in the Marketplace”.