In this work, biodegradable polymers were melt compounded with urea phosphate to fabricate “smart fertilizers” for sustainable agriculture. Urea phosphate (UP) is typically applied as a water-soluble fertilizer to treat phosphorus deficiency in high pH soils. Due to the low diffusion rate of phosphate through slow-release fertilizer coatings, phosphate supply has been considered the “bottleneck” for nitrogen–phosphorous–potassium (NPK) nutrients supply. We study the influence of polymer matrix structure on release kinetics in deionized water using novel polyesters including poly (hexamethylene succinate) (PHS), poly (30% butylene succinate-co-70% hexamethylene succinate) (PBHS 30/70), and PBHS 70/30. Melt processed composites of UP and polyester were analyzed to determine UP loading efficiency and dispersion and distribution of the salt in the polymer matrix. A combined empirical model involving diffusion and erosion mechanisms was found have a good agreement with the experimental release curve. This work provides a solution for environmentally friendly controlled release phosphate fertilizer with good release performance using bio-based and biodegradable polymers.