This paper presents a comprehensive cost-benefit analysis of producing alternative phosphorus (P) fertilizers from recycled water treatment residuals (Fe-WTR) and cowshed effluents, under the umbrella of circular economy approach. Fe-WTR is compared to a synthetic adsorbent, layered double hydroxide (LDH). Dairy wastewater is used as a P source for both adsorbents. The cost of 1 ton P-Fe-WTR sums up to 329 Euro. In contrast, the use of synthetic adsorbents (P-LDH) incurs significantly higher costs, amounting to 3329 Euros per ton, underscoring the economic advantage of utilizing waste-derived materials. Adopting Fe-WTR fertilizer not only offers substantial cost savings by avoiding landfill fees (40-150 Euros per ton) and wastewater discharge fines (500 Euros per ton) but also reduces environmental impacts. This sustainable method mitigates eutrophication and pollution, presenting a dual benefit of cost-effectiveness and environmental protection. Although our results are based on a specific case study, they reflect the potential value of extending the circular economic approach to P production worldwide: Recycling P from waste streams can be economically viable and environmentally preferable at large, aligning with global sustainability goals and demonstrating the practicality of circular economy principles in environmental management.