Fertilizer prices increased across all eight major nutrients during the second week of March 2026, as U.S. retailers reported higher average prices driven by geopolitical tensions involving Iran. The surge matters because it directly raises input costs for American farmers ahead of the planting season, potentially squeezing margins and influencing acreage decisions.

The latest market data shows a broad-based upward trend in both dry and liquid fertilizers, with several products posting significant month-over-month gains. Nitrogen-based fertilizers led the rally, reflecting heightened volatility in global energy and nutrient supply chains tied to instability in the Middle East.

UAN28 recorded the sharpest increase, jumping 13% to an average of $464 per ton, while urea rose 12% to $674 per ton, reinforcing concerns about nitrogen affordability for corn producers. Meanwhile, anhydrous ammonia climbed 7% to $924 per ton, marking its first move above the $900 threshold since mid-2023.

Other fertilizers posted moderate gains but remained on an upward trajectory. UAN32 increased 5% to $489 per ton, while DAP averaged $851, MAP $889, potash $488, and 10-34-0 reached $670 per ton.

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This price escalation is closely linked to disruptions in global logistics. The ongoing conflict involving Iran has constrained shipping through the Strait of Hormuz, a critical corridor for both energy and fertilizer inputs. While some vessel movement has resumed, flows remain inconsistent, keeping markets on edge.

From a cost-efficiency perspective, nitrogen prices per pound highlight continued disparities: urea averaged $0.73/lb.N, anhydrous $0.56/lb.N, UAN28 $0.83/lb.N, and UAN32 $0.76/lb.N. These differences are likely to influence fertilizer application strategies and precision agriculture decisions in the 2026 growing season.

On a year-over-year basis, the upward trend is even more pronounced. UAN28 is up 31%, while urea, anhydrous, and UAN32 have all risen 23% compared to 2025 levels. Phosphate and potash markets also show steady increases, reflecting broader inflation across crop inputs.

The implications for U.S. agriculture are significant. Higher fertilizer prices elevate total production costs, particularly for corn, wheat, and soybean operations heavily reliant on nitrogen and phosphate applications. This environment may shift planting intentions, alter yield expectations, and increase reliance on crop insurance and federal support programs under the farm bill framework.

Industry groups are already engaging policymakers. Discussions with federal agencies are focusing on potential mitigation strategies, including supply chain stabilization and financial assistance mechanisms. Any policy response could play a key role in buffering farm income amid rising input costs.

Looking ahead, market participants will closely monitor geopolitical developments, energy markets, and spring application demand. Fertilizer availability and pricing will remain a critical factor shaping profitability across the U.S. agricultural sector in 2026.

Fertilizer Price Table (Retail Averages)

Dry Fertilizers

Liquid Fertilizers