The financial strain tied to fertilizer in Iowa has farmers facing bigger bills for what goes on their fields while towns face higher costs to treat drinking water.
Here's what to know
As Inside Climate News reported, Food & Water Watch found that CF Industries and Nutrien increased their combined sales by 19% from the first quarter of 2025 to the first quarter of 2026. Over that same period, their net earnings climbed 120%.
Surface-water nitrate pollution in Iowa is closely tied to heavy fertilizer use. Nitrogen that crops do not take up can leave fields and enter drinking water sources, creating health concerns and increasing the cost of keeping tap water safe.
Keeping nitrate levels under the legal limit has been costly for Des Moines Water Works, the state's largest water utility. According to ICN, its nitrate-removal facility costs $10,000 a day to operate, and the plant had already run for nearly 200 days this year, totaling almost $2 million.
"Industrial agriculture polluters are ruining Iowa's water, driving our cancer crisis, and bleeding farmers dry — and they're making billions doing it. No one should be in the business of pollution," Jennifer Breon, a senior organizer with Food & Water Watch, told ICN.
More background
The report cited research that showed nitrogen fertilizer use per acre of Midwest corn has increased steadily over decades. As diesel, seed, and fertilizer all become more expensive, farmers are pressured to pursue higher yields just to stay afloat, which can lead to even more fertilizer use.
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A concentrated set of companies gains from that pattern. CF Industries and Nutrien account for 55% of U.S. fertilizer production, and four companies control 75% of domestic fertilizer production.
"With the nitrate crisis at fever pitch, this research was in part born out of our organizers' need to answer questions about the companies driving the pollution," Food & Water Watch researcher Kat Ruane wrote, per ICN.
Problems in the global supply chain have also pushed prices higher. The World Trade Organization said fertilizer shipments through the Strait of Hormuz fell to nearly zero after the war involving Iran disrupted trade.
Even so, the United States relies much less on Persian Gulf fertilizer than some other countries. About 16% of U.S. fertilizer imports come from the region — roughly 4% of all fertilizer used nationwide.
What's being done?
Bloomberg reported that the Department of Justice was investigating whether pricing practices in the fertilizer industry violated antitrust laws.
Calls for a less concentrated market have also come from other corners. State corn producer associations and Deputy Agriculture Secretary Stephen Vaden have pushed for more competition, while multiple class action lawsuits allege price-fixing.
Federal policy has also backed more domestic production. The Department of Agriculture announced $500 million to expand fertilizer manufacturing and make it more affordable for farmers, while federal agencies have committed over $4 billion to support natural gas exports — a key input for nitrogen fertilizer.
A survey by the American Farm Bureau Federation found that nearly three-quarters of U.S. farmers could not afford all the fertilizer they needed.
"To see profits being pulled in by fertilizer companies, it feels like we're being gouged at the worst possible time," said Aaron Lehman, president of the Iowa Farmers Union.
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