OCP prepares to resume phosphate fertilizer shipments to US after tariff suspension

USDA says the first cargoes from Morocco could arrive in New Orleans within days following the temporary removal of import duties.

MOROCCO – Morocco’s OCP Group could resume phosphate fertilizer shipments to the United States within days after the US government suspended import duties on Moroccan phosphate for eight months.

US Department of Agriculture Deputy Secretary Stephen Vaden said ships could head to New Orleans “as early as the end of this week or next week” after OCP North America’s chief executive met USDA officials to complete the remaining import requirements.

The final step involves customs paperwork to classify the shipments under President Donald Trump’s June 29 order, which temporarily suspended antidumping and countervailing duties on Moroccan phosphate fertilizer.

The US administration used Section 318 of the Tariff Act of 1930 to suspend the duties after declaring an emergency over fertilizer supply concerns. The measure aims to improve fertilizer availability for US farmers after months of supply disruptions linked to the near closure of the Strait of Hormuz, lower domestic phosphate production and tight global supplies.

Phosphate fertilizer prices have yet to respond to the policy change. According to DTN fertilizer data, monoammonium phosphate averaged US$954 per ton, while diammonium phosphate averaged US$912 per ton. Vaden said, “Those price effects should begin to filter through when the ships hit New Orleans.”

USDA estimates the temporary suspension could lower phosphate fertilizer costs by as much as 22%, saving about US$1.82 billion annually (approximately US$1.82 billion) for nearly 100,000 farmers across 97 million planted acres.

The suspension has no volume limit, allowing OCP to supply any quantity during the eight month period. Vaden said, “That means that if retailers want to place large orders with OCP … they absolutely can do that.” He added that retailers could secure lower priced supplies for the current season and future demand.

OCP, based in Casablanca, remains the world’s largest producer of phosphate rock and phosphate based fertilizers. Morocco holds more than 70% of the world’s known phosphate reserves, while OCP accounts for about 31% of the global phosphate market.

The latest move follows several years of trade disputes. The United States first imposed a 19.97% countervailing duty on OCP in 2021 before reviews reduced the rate to 2.11% in late 2025. The US government later dropped its appeal.

At the same time, scrutiny of the fertilizer industry continues. The Federal Trade Commission has opened an investigation into the sector, while the Iowa Corn Growers Association and 16 other state corn groups have asked the Department of Justice to speed up its inquiry into alleged anti competitive practices. Vaden also encouraged farmers to submit information to USDA, saying, “You can remain confidential,” while the department prepares a formal reporting portal.

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