U.S. Rep. Ashley Hinson (R-IA) helped introduce legislation aimed at expanding domestic fertilizer production capacity for small- and mid-sized producers, hoping to increase competition and lower costs for farmers.
The House measure, the Homegrown Fertilizer Act, H.R. 8457, was filed April 22 and would authorize USDA grants and loans, up to $100 million per project, to support new and expanding fertilizer facilities while including safeguards to prevent industry consolidation.
The bipartisan Homegrown Fertilizer Act was sponsored by U.S. Rep. Eric Sorensen (D-IL) and cosponsored by Rep. Hinson, along with a group of five other original cosponsors that included U.S. Rep. Mike Bost (R-IL). Companion legislation was introduced in the Senate by U.S. Sens. Roger Marshall (R-KS) and Amy Klobuchar (D-MN).
Under the proposal, recipients would be required to provide a dollar-for-dollar private-sector match to ensure investment from project partners. The bill includes a clawback provision requiring repayment if a supported facility is later sold to a large fertilizer company. Rep. Hinson’s office cites concentration in the global market, noting four major firms control more than 75% of the worldwide fertilizer market.
“American farmers are struggling, and we should be using every option available to increase competition and grow our domestic supply of inputs like fertilizer,” Rep. Hinson said. “That’s why I’ve helped introduce this bipartisan bill that will help lower costs, shore up our supply chains, and break the chokehold a handful of companies have over the fertilizer market.”
She has previously pushed for greater market transparency through the Fertilizer Research Act and the Fertilizer Transparency Act and raised the issue with USDA officials during testimony before the House Appropriations Committee.
“Our farmers are already dealing with tight margins and unpredictable markets—and global conflicts are only making things worse,” Sorensen said, arguing the bill would invest in American production, lower input costs and give producers more certainty.
The bill is under consideration by the House Agriculture Committee.