In a victory for America’s farmers and fertilizer industry, phosphate has been included, along with potash, on a list of 60 minerals deemed as critical to U.S. security.
The addition of phosphate on the Interior Department’s list comes after it was left out of an earlier proposal. The omission prompted USDA to press for its inclusion on the grounds the mineral is key for the country’s food supplies.
The Energy Act of 2020 defines critical minerals as commodities essential to the economic or national security of the U.S., have a supply chain vulnerable to disruption, and serve an essential function in the manufacturing of a product, the absence of which would have far-reaching consequences for the nation's security.
Phosphate prices have surged this year amid President Donald Trump’s tariffs on countries such as Saudi Arabia, Jordan and Egypt, which accounted for 86% of phosphate shipments to the U.S. last year.
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The levies contributed to a 36% drop in imports from April through July versus a year earlier, according to The Fertilizer Institute. The disruption highlights heightened concern over America’s dependence on volatile foreign supply chains for phosphates, potash and nitrogen, all crucial for growing crops.
“Rightfully recognizing phosphate and potash as critical minerals will support American farmers across the country and help ensure high crop yields and stocked grocery store shelves for consumers,” TFI President and CEO Corey Rosenbusch said in a statement on Thursday. “It’s time to change how we think about these vital resources.”
Potash had been included in the original critical minerals list compiled in 2018, but was left off an update four years later. The U.S. imports about 97% of its potash needs, with almost of all that coming from Canada. Ongoing trade tensions between the Trump administration and Canada have led to worries about potential tariffs on potash.
Potash is among critical minerals considered to have the riskiest supply chain, according to the U.S. Geological Survey.
Federal lawmakers including Republican Sen. Joni Ernst of Iowa and Democratic Sen. Elissa Slotkin of Michigan had urged Interior Secretary Doug Burgum to list phosphate and potash as critical minerals, saying without them “modern agricultural systems would crumble and the ability to feed our growing population would be nearly impossible.”
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