Global Food Prices Under Pressure as Iran Conflict Drives Fertilizer and Fuel Costs Higher
Updated
Updated · Bloomberg · Apr 11
Global Food Prices Under Pressure as Iran Conflict Drives Fertilizer and Fuel Costs Higher
52 articles · Updated · Bloomberg · Apr 11
The Iran war and closure of the Strait of Hormuz have caused global fertilizer and fuel prices to surge, straining farmers worldwide.
Fertilizer costs have risen by up to 40%, and fuel prices have doubled in some regions, leading to fears of higher food prices and lower crop yields.
Even with a ceasefire, disruptions persist, with experts warning that prolonged shortages could worsen food insecurity and drive further inflation globally.
How will the WFP's funding shortfall exacerbate acute hunger as global food and input costs surge?
With fertilizer supply chains months from recovery, what unforeseen food security challenges await by 2027?
Beyond inflation, what specific, long-term shifts in consumer food choices will this global crisis trigger?
Will the Strait of Hormuz crisis permanently transform global food systems toward resilience and sustainability?
Are current farm aid packages merely debt relief, or truly enabling sustainable agricultural futures for farmers?
What geopolitical lessons from this conflict will reshape control over critical global shipping chokepoints?
How the 2026 Strait of Hormuz Closure Disrupted 98% of Fertilizer Trade and Endangered Global Food Security
Overview
In late February 2026, regional conflict led to the closure of the Strait of Hormuz, causing shipping traffic to drop by over 95% and collapsing global fertilizer trade by 98%. This disruption, worsened by export suspensions from Russia and China, caused U.S. fertilizer supplies to fall to 75% of normal and pushed urea prices up by 28%. Natural gas prices surged by 70%, further driving fertilizer costs higher. These shocks triggered crop price increases and forced farmers to shift from corn to soybeans. The crisis threatens food security worldwide, with an estimated 45 million more people facing acute hunger by the end of 2026, especially in Africa and South Asia. Governments responded with subsidies, energy rationing, and trade negotiations, but lasting solutions depend on reopening the Strait and diversifying supply chains.