Fertilizer prices experienced a significant surge in 2021, driven by the post-COVID 19 global economic recovery. Russia’s February 2022 invasion of Ukraine propelled prices even higher. Broad economic sanctions on key fertilizer exporters Russia and Belarus exempted agricultural products but triggered further economic disruptions. Overall, the conflict heightened market uncertainties regarding the availability of potash, phosphate, and nitrogen-based fertilizers in international trade.
All fertilizer prices have come down from their peaks in 2022, but price levels today remain generally higher than pre-pandemic levels (Figure 1). For example, urea prices are about 50% higher than they were in January 2020 and phosphate prices about double.