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USDA announces $83 million investment in fertilizer projects

Grants will enable independent business owners to modernize facilities, adopt cutting-edge technologies and construct new production plants.

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Franck Barske | Pixabay

U.S. Department of Agriculture (USDA) Secretary Tom Vilsack announced today that the USDA is investing $83 million in domestic fertilizer projects across 12 states to enhance competition and support U.S. farmers, ranchers, and agricultural producers. This funding is part of President Biden’s Investing in America agenda, which aims to grow the economy by creating jobs and fostering economic growth in rural communities.

The Fertilizer Production and Expansion Program (FPEP) grants will help independent business owners modernize equipment, adopt new technologies, and build production plants, boosting domestic fertilizer production and lowering costs for U.S. farmers. These investments are also expected to create good-paying jobs and strengthen the agricultural supply chain.

“The Biden-Harris Administration and USDA are committed to bolstering the economy and increasing competition for our nation’s farmers, ranchers, and small business owners,” said Secretary Vilsack. “The investments announced today will increase domestic fertilizer production and strengthen our supply chain, all while creating good-paying jobs that will benefit everyone.”

Facilities in California, Florida, Hawaii, Iowa, Illinois, Kansas, Kentucky, Minnesota, North Carolina, North Dakota, Oregon, and Washington are among those receiving awards.

To date, the USDA has invested $251 million in 57 projects across 29 states through FPEP, created to address rising fertilizer prices influenced by factors such as the war in Ukraine and lack of competition in the industry. The Biden Administration committed up to $900 million through the Commodity Credit Corporation for FPEP to support long-term investments that strengthen supply chains, create economic opportunities, and promote climate-smart innovation.

FPEP is part of broader efforts to enhance production and address global food insecurity, promoting fair competition, innovation, and resilience in food and agriculture while combating the climate crisis.

USDA Rural Development provides loans and grants to support infrastructure, business development, housing, community facilities, and high-speed internet access in rural areas. For more information, visit www.usda.gov.

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