Hearings to examine politically violent attacks, focusing on a threat to our constitutional order.

Constitution, Civil Rights and Human Rights

2025-10-28

Source: Congress.gov

Summary

The meeting convened to address critical issues impacting American farmers, specifically focusing on competition challenges, escalating input costs, and the implications of current trade policies on the agricultural sector [ 00:27:11-00:27:28 ]

[ 00:29:04 ] . Participants underscored the urgent need for enhanced transparency and vigorous competition to safeguard the economic viability and resilience of farming operations nationwide [ 00:28:42-00:28:58 ] [ 00:31:23 ] .

Themes

Tone of the Meeting

The overall tone of the meeting was serious and underscored a sense of urgency regarding the crisis facing American farmers [ 00:46:23 ]

. A strong bipartisan consensus emerged on the gravity of the issues, with members from both political affiliations expressing a shared commitment to developing solutions for agricultural competition and sustainability [ 00:32:00 ] [ 00:46:08 ] . Speakers voiced palpable frustration with the current market dynamics, particularly the limited choices and unfair pricing experienced by farmers, and delivered sharp criticism of corporate concentration and anti-competitive practices [ 01:01:03 ] [ 01:21:00 ] . Despite acknowledging the complexity of the problems, there was a prevailing resolve to identify concrete steps to re-establish a fair and equitable playing field for American agriculture [ 00:31:23 ] .

Participants

Transcript

Charles (Chuck) E. Grassley

Senator, we have some testimony from Iowa Corn and others. This is kind of the order of business for today. I'll have an opening statement. Senator Durbin will have an opening statement. Then we have the chairman and ranking member of the subcommittees to make an opening statement. That's the Antitrust Subcommittee. And then we'll swear and introduce and swear in the witnesses and take the testimony. Today, the Judiciary Committee turns its attention to the problem Iowa farmers talk to me about at the kitchen table and at the local co-op. This time of the year, farmers are buying the basics they need to plant and harvest a crop. These farmers don't feel like they have a real choice, let alone a fair price. America's farmers are the most productive in the world. They take the risk, put in the work, and feed the United States and much of the world. But they also operate

Charles (Chuck) E. Grassley

on thin profit margins if they have a profit. If input costs go up or switching suppliers is too hard, that pinch is felt by every farmer, family, and consumer in the world. Farmers across the country are showing significant higher input costs, particularly for seed and fertilizer, According to the USDA's agricultural price reports, the price indexes farmers pay for these categories were notably higher in January 2025 than at the start of 2021. This was obviously due in part to the record high inflation that took place during the last four years. Rising input prices squeeze already thin margins, especially when combined with volatile commodity markets, higher borrowing costs, and weather risk. Today's hearing will examine the drivers behind these trends, energy markets that influence nitrogen production, global supply disruptions, logistic bottlenecks, and market concentration. This hearing will evaluate practical steps that increase transparency and competition so processors and producers can remain viable and resilient. One such step would be to pass my legislation, the Fertilizer Research Act. The bill would require Department of Agriculture to do a comprehensive study on fertilizer industry to shed light on the reason farmers are paying so much for fertilizer.

Charles (Chuck) E. Grassley

The department would be required to give recommendations on further regular and do regular reporting to the public. This hearing is focused on competition issues However, there is something that the Trump administration can do right now to help ease the burden for farmers, lowering the countervailing duties on phosphate from Morocco. In 2024, the Biden administration increased the duties on Moroccan phosphate to 18%. The Biden phosphate duties have only hurt farmers by boxing out. access to this important market on an essential input with no substitute. I'm calling on the Trump administration to help American farmers and get rid of that phosphate duty. Over the last 20 years, a few big companies have bought up many of the smaller seed and chemical businesses. Those same companies now sell not just the seeds, but also the pesticides and digital farming tools that tell farmers what to plant and when. Because all these products and data systems are tied together, it's hard for farmers to switch to a different brand. Their data and recommendations are locked in to one company's system. On the fertilizer side, global energy and trade shocks hit prices fast regional markets. Those prices can be slow to fall. On top of that are the contracts and dealer practices like loyalty rebates, most favored clauses, and early order calendars that can lock in a farm or a local retailer even when there's better options on paper.

Charles (Chuck) E. Grassley

Now, nobody here wants to punish innovation. We want better yields, healthier soils, quality products, and we've been vastly improving in that area for the last 40 years. But we also want competition that's fair, transparent, and local competition that a farmer can actually express when he or she sits down to make a purchase. Competition law is about making sure the rules don't give a few players the power to decide what everyone else pays and what choices are even available. This hearing focuses on problems and workable solutions. First, transparency. Farmers deserve to know the effective price that they're paying.

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