Prairie State Wire

Steve Cortes, president and founder of the League of American Workers (LAW), said American needs to increase domestic energy exploration and production to help reduce the price of fertilizer for Illinois farmers.

“Rising fertilizer prices are a direct result of rising energy costs — and there’s a simple solution: produce more American energy to lower costs for Illinois farmers," Cortes, an Illinois native, told Prairie State Wire. "Natural gas is the backbone of fertilizer production, and when we restrict exploration and slow-walk production, farmers pay the price."

"If we unlock U.S. energy — especially our abundant natural gas — we can stabilize input costs, strengthen our agricultural sector, and ensure America’s farmers aren’t held hostage by global energy markets," Cortes said. "Putting American farmers first starts with a pro-production American energy policy.” 

Cortes' comments were in response to recent statements by an American Farm Bureau Federation economist, who said that “the big drivers” of higher fertilizer prices are energy costs, specifically the cost of natural gas.

“The big drivers are energy costs, mainly because nitrogen fertilizers rely on natural gas and so other countries have had decreased production due to conflict, as well as geopolitical disputes overall,” said Faith Parum, an economist with the Farm Bureau, in an interview on the Newsline Podcast. “There will just, again, be that uncertainty as you know, the world continues to move around through these geopolitical disruptions,” Parum said, reported the Utah Farm Bureau.

Natural gas is both a feedstock and a power source for nitrogen fertilizer production, meaning higher gas prices directly raise fertilizer costs. Parum said  energy remains a critical factor in fertilizer markets because “natural gas is the main feedstock for nitrogen fertilizer,” and that rising gas costs in 2025 and 2026 are likely to tighten global supply and margins.

Fertilizer manufacturer Yara International also reported this year that it expects gas costs to be $60 million higher in the third quarter and $10 million higher in the fourth quarter compared to last year, underscoring how energy prices are pressuring the sector’s bottom line.

In Australia, fertilizer producer Dyno Nobel said that rising gas prices have added $40 million to $80 million in annual operating costs at its Phosphate Hill plant, a situation that has put hundreds of jobs at risk, reported the Courier-Mail.

Globally, fertilizer prices have risen about 15 percent since April, according to a Rabobank report summarized by Wisconsin Ag Connection, with phosphate prices up nearly 19 percent. 

Cortes previously worked in finance and later became a frequent political analyst on CNBC, CNN, and Fox News, where he emphasized populist themes and Latino outreach. He founded LAW, and organization that advo