U.S. fertilizer markets entered late May 2026 with a mixed signal for growers: urea prices declined, but most major fertilizers continued moving higher. The trend emerged during the fourth full week of May, just as producers across key crop regions evaluate input purchases for the next production cycle. The development matters because fertilizer remains one of the largest operating expenses for corn, soybean, and wheat farms, directly affecting profitability and planting decisions.

While the decline in urea offers some relief, the broader picture shows that fertilizer costs remain elevated across the market. Six major fertilizer products posted monthly gains, while only urea and UAN32 moved lower. For many producers, the overall cost structure remains significantly above historical norms despite some recent moderation in nitrogen markets.

Input Costs Continue to Challenge Producers

The latest retail market data show DAP averaged $ 914 per ton, while MAP reached $ 953 per ton, both maintaining strong upward momentum. Potash climbed to $ 494 per ton, while liquid phosphate fertilizer 10-34-0 averaged $ 723 per ton.

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Nitrogen products delivered a more mixed performance. Anhydrous ammonia rose to $ 1,118 per ton, remaining the highest-priced major fertilizer product in the market. UAN28 increased to $ 530 per ton, while UAN32 slipped slightly to $ 585 per ton. Urea experienced the most notable monthly decline, falling 5% to $ 823 per ton.

Retail Fertilizer Prices - May 2026

A closer look at annual comparisons reveals why many growers continue expressing concern about input expenses.

Every major fertilizer product remains more expensive than a year ago. Anhydrous ammonia recorded the largest increase, up 44% year-over-year. UAN fertilizers posted gains ranging from 18% to 27%, while urea remained 24% above year-earlier levels despite its recent monthly decline.

Phosphate fertilizers also remain elevated. Both DAP and MAP increased approximately 15% compared to the same period last year, while potash rose 4%.

These increases continue to influence crop budgets, especially in regions heavily dependent on nitrogen-intensive corn production. Higher fertilizer expenditures can reduce margins even when commodity prices remain relatively stable.

Federal Investigation Adds New Dimension to Fertilizer Market

Beyond pricing trends, fertilizer markets are drawing increasing attention from policymakers.

Federal regulators have launched an investigation into potential anti-competitive behavior within the fertilizer industry following concerns raised by producers across multiple states. Farmers participating in recent discussions with federal officials argued that a concentrated supplier base may be limiting competition and contributing to persistently high prices.

The issue has become increasingly important because USDA data indicate fertilizer has been among the fastest-growing farm input costs since 2020. Producers argue that sustained price increases have outpaced many improvements in crop revenue, placing additional financial pressure on operations already facing volatility in commodity markets and weather conditions.

The decline in urea may indicate some softening in nitrogen demand, but broader fertilizer markets continue to signal tight supply-demand fundamentals. Seasonal purchasing activity, global energy costs, transportation logistics, and regulatory developments will likely influence price direction during the remainder of the year.