The extensive geological and mineral exploration works in Iraq revealed large resources of potentially economic marine sedimentary phosphate deposits in the Western Desert. The indicated resources are estimated by about 10 billion tons, whereas the reserves are over 5 billion tons of phosphate rocks with 20 – 22 % P2O5 content. Phosphate mining has started by the Iraqi government in the Akashat deposit in the early eighties of the past century with a designed capacity of 3.4 Mt/year to feed the fertilizers plant at Al-Qaim, designed to produce 1 Mt of fertilizers/year. Since 1991, the development of phosphate industry in Iraq faced serious problems which hindered the commissioning of new mines and expanding fertilizers production. Moreover, mining in Akashat and fertilizers production at Al-Qaim have almost stopped after 2003. The availability of large phosphate reserves with suitable specifications and feasible mining and beneficiation conditions call for immediate measures to start new mining projects and fertilizers production plants, as well as rehabilitation of the available facilities, to be implemented by partnership of the government with the private sector. Modern technologies should be introduced to ensure best practices in mining, beneficiation and fertilizers industry, in addition to maintaining safe and clean environmental conditions. Guidelines for future development of phosphate industry in Iraq are presented in this paper including potential deposits for exploitation, conditions for licensing, requirements of the new projects, production capacities, products and by-products, environmental protection and economic impact.