CHS and OCP North America Plan $450 Million Fertilizer Plant
CHS and OCP North America will build a phosphate fertilizer plant in Louisiana to reduce U.S. import dependency by over 48 percent.
Agricultural cooperative CHS and OCP North America have announced a joint venture to construct a phosphate fertilizer plant at the Cornerstone Energy Park in Waggaman, Louisiana. The project represents an estimated investment of up to $450 million and marks the first phosphate fertilizer facility built in the United States in over 40 years.
The plant is designed to produce more than 1 million metric tons of phosphate-based fertilizer annually. This capacity is intended to reduce U.S. dependency on imported phosphate fertilizers by more than 48 percent, addressing food security concerns linked to geopolitical conflicts in the Middle East, Russia, and Ukraine. Under the agreement, the Moroccan-based OCP Group will supply the necessary phosphoric acid, while CHS and OCP North America will manage the distribution of finished products.
The project is expected to create 60 permanent jobs and 500 construction jobs, with a total estimated economic impact of 924 direct and support jobs in Jefferson Parish. The companies have applied for funding through the United States Department of Agriculture's Fertilizer Investment & Expansion for Long-term Domestic Supply program. The USDA has signaled support for the initiative as a means to increase market competition and counter industry consolidation.
Construction is expected to take up to two years, pending final project approvals and funding. Matthew Sokol noted that the announcement solidifies the region as a key location for attracting global industry.
