Low-cost synthesis of iron phosphate nanostructured particles is attractive for large scale fortification of basic foods (rice, bread, etc.) as well as for Li-battery materials. This is achieved here by flame-assisted and flame spray pyrolysis (FASP and FSP) of inexpensive precursors (iron nitrate, phosphate), solvents (ethanol), and support gases (acetylene and methane). The iron phosphate powders produced here were mostly amorphous and exhibited excellent solubility in dilute acid, an indicator of relative iron bioavailability. The amorphous and crystalline fractions of such powders were determined by X-ray diffraction (XRD) and their cumulative size distribution by X-ray disk centrifuge. Fine and coarse size fractions were obtained also by sedimentation and characterized by microscopy and XRD. The coarse size fraction contained maghemite Fe2O3 while the fine was amorphous iron phosphate. Furthermore, the effect of increased production rate (up to 11 g/h) on product morphology and solubility was explored. Using increased methane flow rates through the ignition/pilot flame of the FSP-burner and inexpensive powder precursors resulted in also homogeneous iron phosphate nanoparticles essentially converting the FSP to a FASP process. The powders produced by FSP at increased methane flow had excellent solubility in dilute acid as well. Such use of methane or even natural gas might be economically attractive for large scale flame-synthesis of nanoparticles.