TFI Study Highlights Fertilizer Industry’s $140 Billion Impact and Global Trade Ties
Arlington, VA – The Fertilizer Institute (TFI) today released the 2024 Fertilizer Industry Economic Impact Study, highlighting the importance and economic contributions of the U.S. fertilizer industry to the national, state, and local economies. The study also underscores the global nature of fertilizer markets and the importance of open markets and fair competition in providing farmers access to vital nutrients exactly when and where they are needed.
“Fertilizer is a cornerstone of modern agriculture and a critical component of the global food supply chain,” said TFI president and CEO Corey Rosenbusch. “While the latest data reveals the industry’s significant domestic economic impact, it also provides an opportunity to educate people about fertilizer’s complex global network and its reliance on open markets and fair competition to meet the needs of American farmers.”
The United States is both a major fertilizer producer and consumer. As the third-largest fertilizer-consuming country in the world, the U.S. accounts for close to 11% of global consumption. Domestically, the industry contributes $140 billion to the economy, supports nearly 500,000 jobs, and generates over $36 billion in income for American workers. The global interconnectivity of fertilizer markets is what makes this success possible.
“Trade is a critical component of the U.S. fertilizer industry,” Rosenbusch explained, citing key nitrogen-based fertilizers ammonia and urea as examples that highlight the nuanced relationships that keep vital supply chains moving. “The U.S. produces significant amounts of ammonia, but we still need to import around 12% to meet our needs. Additionally, the U.S. is the fourth largest producer of urea but also the third largest importer because our needs are so high. This blend of domestic production and international trading partners is what ensures our growers have the resources they need throughout the year.”
Potash and phosphate are another example of the importance of trading partners. The U.S. relies on imports for 98% of its potash needs, mainly from North America trading partner Canada. Conversely, phosphate, mined extensively in Florida’s Bone Valley region, underpins the U.S.’s dual role as a leading producer and exporter, with nearly 40% of U.S. phosphate exports by volume heading to Canada in 2023.
“Our ability to feed the world depends on maintaining and strengthening these vital trade relationships,” Rosenbusch concluded. “And what makes our industry so strong is the balance between domestic production and having reliable global trading partners.”
To explore the full findings of the 2024 Fertilizer Industry Economic Impact Study, please click here.
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The Fertilizer Institute (TFI) is the leading voice of the nation’s fertilizer industry. Tracing its roots back to 1883, TFI’s membership includes fertilizer producers, wholesalers, retailers and trading firms. TFI’s full-time staff, based in Washington, D.C., serves its members through legislative, educational, technical, economic information and public communication programs. Find more information about TFI online at TFI.org and follow us on Twitter at @Fertilizer_Inst. Learn more about TFI’s nutrient stewardship initiatives at nutrientstewardship.org and on Twitter at @4rnutrients.