Chemical modification of agricultural waste biomass has proved to be an economy and effective approach to capture phosphate ions, except for that under acidic conditions and highly competitive ion systems. According to this, a new nanocomposite (HFO@St+) was fabricated by incorporating nano-sized hydrous Fe(III) oxides (HFO) within aminated wheat straw in order to overcome the bottleneck. The optimal pH of phosphate uptake by HFO@St+ was greatly broadened and observed over a wide pH range between 2.0 and 7.0. The binary exchange reaction indicated that phosphate was strongly and preferably adsorbed by HFO@St+ with the separation factor K of phosphate over nitrate increasing from 0.23–1 or 0.20–0.26 to 2.5–38 or 2.5–15 for near neutral or acidic pHs, respectively. The sorption selectivity for HFO@St+ followed the order of phosphate > nitrate > chloride under experimental conditions. The presence of inorganic and organic ligands (SO4 and HA) showed no significant effect on phosphate adsorption. XPS and FT-IR analyses were performed to explore the underlying mechanism of adsorption. The exhausted material could be regenerated with NaOH-NaCl solution for at least ten cycles, indicating that HFO@St+ can be used as a sustainable biomass product with excellent adsorption affinity for phosphate removal.