Illinois Corn Urges Trump Administration to Address Un sustainable Input Costs

Strategic Insights -

As input costs for corn farming continue to soar to unsustainable levels, Illinois Corn, along with the National Corn Growers Association (NCGA) and 24 other corn-growing states, has joined forces to urge the Trump administration to take immediate action. A recent letter sent to the U.S. trade representative, secretary of commerce, and secretary of agriculture paints a grim economic picture in the American countryside. The signatories stressed that the combination of low corn prices, trade uncertainty, and consistently high costs for fertilizers and inputs has created a calamitous environment for farmers. They emphasized that placing penalties on imports can negatively impact corn farmers and highlighted the critical role fertilizers, such as phosphates and urea ammonium nitrate, play in root development and plant growth.

Key Takeaways:

  • Illinois Corn, NCGA, and 24 corn-growing states have joined forces to urge the Trump administration to address unsustainable input costs.
  • The letter emphasized that the combination of low corn prices, trade uncertainty, and high costs for fertilizers and inputs has created a calamitous environment for farmers.
  • Fertilizers, including phosphates and urea ammonium nitrate, have seen significant cost increases over the past decade (phosphates: over 60%, urea ammonium nitrate: 37%).
  • The current forecast for 2025 shows fertilizer alone accounting for 36% of a corn farmer's operating cost.
  • Farmers buy products from various domestic and imported supply chains, and placing penalties on imports can negatively impact corn farmers.
  • The signatories warned that high input costs, exceeding grain revenue by more than $100 an acre, will lead to negative profit margins across the country in 2025.
  • IL Corn will continue to advocate for corn farmers by explaining farmers' concerns about high input costs to key officials in Washington, DC.

Statistics:

  • 36% of a corn farmer's operating cost is accounted for by fertilizer alone in the 2025 forecast.
  • Phosphates have seen a dramatic cost increase of over 60% over the past decade.
  • Urea ammonium nitrate has increased in cost by 37% since the beginning of the year.
  • The current forecast for 2025 shows negative profit margins across the country, due to high input costs that exceed grain revenue by more than $100 an acre.

Sources:

  • Illinois Corn Marketing Board (ICMB)