US WSF Prices Rise 8.56% as Raw Material Supply Tightens and Export Demand Surges

US water soluble fertilizer prices advanced 8.56% in June 2026, with the benchmark mono ammonium phosphate (MAP) FOB Texas averaging USD 875 per tonne — up sharply from USD 806 per tonne in May — as a convergence of Strait of Hormuz supply chain disruption, geopolitically elevated production and logistics costs, and robust pre-season demand from the corn and soybean belt drove the most significant monthly FOB price increase in the US water soluble fertilizer market since early 2025.

The primary driver behind June's sharp FOB price gain for water soluble fertilizer was the sustained disruption to global phosphate raw material supply flows through the Strait of Hormuz following the escalation of the US-Iran conflict in late February. Phosphoric acid and ammonia — the two primary raw materials used in MAP production — faced tightened availability through the conflict period, with over 40 vessels laden with fertilizer and fertilizer feedstocks stranded in the strait at the height of the disruption, while weekly fertilizer exports through the strait fell approximately 90% from pre-conflict levels. This raw material supply constraint elevated production costs for US Gulf Coast MAP manufacturers and compelled producers to raise FOB Texas offer levels through the month to reflect the higher input cost environment for water soluble fertilizers.

Export demand played a particularly significant role in sustaining elevated FOB Texas pricing through June for water soluble fertilizer. With Middle Eastern MAP supply effectively curtailed during the conflict period, traditional importers — including India, Brazil, and Southeast Asian agricultural markets — sought alternative supply origins, turning actively to US Gulf Coast producers to cover their procurement requirements. India-bound fertilizer ships began crossing the Hormuz strait only from late June following the peace memorandum, meaning that through the majority of the month, US producers were the preferred alternative supply source of water soluble fertilizer for price-sensitive importers who could not wait for Middle Eastern cargoes to normalize. Brazil similarly saw soaring fertilizer prices dimming farmers' cost competitiveness, with Brazilian agricultural buyers seeking US-origin MAP at competitive FOB levels. This surge in international export inquiry for water soluble fertilizer from multiple destination markets simultaneously tightened the availability of prompt FOB Texas MAP and reinforced producers' ability to maintain elevated offer levels throughout June.

Looking ahead, US water soluble fertilizer FOB prices are expected to moderate through July 2026 as Strait of Hormuz traffic normalizes, Middle Eastern supply flows resume, and the export demand redirection toward US origins partially reverses. However, the strong structural growth in global fertigation and precision agriculture adoption is expected to sustain a firm floor under FOB Texas MAP pricing, with any near-term correction for water soluble fertilizer is likely to be gradual as the global phosphate market recalibrates to restored supply channel availability.