Iran War Cuts 30% of Nitrogen Fertilizer Supply, Threatening Global Food Crisis
Updated
Updated · Reuters · Jul 12
Iran War Cuts 30% of Nitrogen Fertilizer Supply, Threatening Global Food Crisis
3 articles · Updated · Reuters · Jul 12
Summary
More than 30% of global nitrogen fertilizer supply and 17% of natural gas supply were disrupted by the Iran war, driving a sharp rise in fertilizer costs and putting this year’s food output at risk.
Hundreds of ships were stranded near the Strait of Hormuz, gas and fertilizer plants were shut or damaged, and nearly half of globally exported sulfur was trapped in the Gulf, choking key farm inputs.
India bought large volumes of urea at elevated prices, leaving less supply for others, while farmers in Australia, Brazil and parts of Africa either cut fertilizer use or struggled to obtain it at all.
Food prices have already climbed worldwide, and the report says recovery in some gas and fertilizer production could take months or years even if the strait stays open.
El Nino-linked heat and drought risks could deepen the shock, raising the odds of smaller harvests and prolonged pressure on vulnerable consumers globally.
Could this historic fertilizer crisis permanently reshape global agriculture and its reliance on fossil fuels?
As global food prices soar, can diplomacy break the naval blockade in the Strait of Hormuz?
Is the world economy prepared for the worst energy shock in history triggered by the Hormuz closure?
Global Fertilizer Crisis 2026: How the Iran War and Strait of Hormuz Closure Threaten Food Security and Supply Chains
Overview
The ongoing conflict involving Iran and the closure of the Strait of Hormuz have triggered a significant global fertilizer crisis by disrupting critical supply lines. This disruption has sent shockwaves through interconnected markets, causing fertilizer prices to escalate and introducing new risks for countries worldwide, especially the United States and its allies. The removal of fertilizer tons from the Middle East has created immense pressure on global prices, tightening industrial capacity and affecting even those nations not directly importing from the region. These cascading effects highlight the vulnerability of global supply chains to geopolitical shocks.