HANOI, Vietnam (AP) — Farmers everywhere are feeling the pinch due to rising tensions from the conflict involving Iran. Gas prices are up, and fertilizer shipments are being disrupted. Iran’s actions in the Strait of Hormuz, a vital waterway, have significantly impacted the supply of critical agricultural resources.
This fertilizer shortage is particularly hard on farmers in developing countries, who are already grappling with extreme weather and temperature fluctuations. As planting season begins, the situation grows dire. Carl Skau, from the World Food Program, warns that without adequate fertilizer, farmers might face lower yields or even crop failures next season.
Baldev Singh, a 55-year-old rice farmer in India, highlighted that many small-scale farmers depend on government subsidies to afford fertilizer, especially as demand peaks in June. “Right now, we are waiting and hoping,” he said, reflecting the uncertainty many farmers face.
Iran’s restrictions on shipping through the Strait of Hormuz complicate matters further. This narrow passage is crucial, handling about 20% of the world’s oil and nearly a third of its fertilizer trade. Recently, an Iranian diplomat noted that Iran would allow humanitarian aid and agricultural shipments to pass through the strait, a sign of hope amid the turmoil.
Key nutrients like nitrogen and phosphate are hard hit. The war has already limited about 30% of global urea trade, the most commonly used fertilizer. Chris Lawson from CRU Group, a commodities consultancy, pointed out that shipping delays, alongside soaring natural gas prices, are leading to serious shortages.
Countries like Ethiopia, which imports over 90% of its nitrogen fertilizer, are particularly vulnerable. Raj Patel, a food systems economist at the University of Texas, stated, “The planting season is now. The fertilizer isn’t there.” With essential supplies dwindling, the consequences for food production could be serious.
In regions like India, the government is prioritizing domestic fertilizer use, but many plants are still underperforming. “The food system is fragile and depends on stable fertilizer supply chains,” said Hanna Opsahl-Ben Ammar of Yara International.
Fertilizers are typically applied during key growth stages, making timely delivery essential for successful harvests. Already, farmers in the U.S. and Europe are feeling the effects as their planting season kicks off, and Asia will soon follow. Dirk Peters, an agricultural engineer in Germany, expresses the urgency: “Our crops need nitrogen now.”
Although the fertilizer prices are lower than previous peaks, farmers are facing tighter margins. This could force them to switch to less fertilizer-intensive crops, resulting in reduced yields. Such changes might lead to higher food prices for consumers.
Developing countries are particularly exposed to these fertilizer shortages. In East Africa, for instance, farmers are struggling to find enough fertilizer just as planting season arrives. Stephen Muchiri, from the Eastern African Farmers Federation, noted that delays can substantially reduce yields.
While some governments are subsidizing fertilizer to alleviate economic strains, this approach comes with its own challenges. India allocated $12.7 billion for urea subsidies this year, but increased domestic production efforts have left them more reliant on imported gas. Purva Jain from the Institute for Energy Economics and Financial Analysis suggests that using more organic fertilizers could be a sustainable solution.
Experts like Oliver Oliveros from the Agroecology Coalition see less reliance on imported fertilizers as a potential turning point, improving resilience against future price swings.
This is a critical moment for farmers globally. Their challenges underscore the interconnectedness of global food systems and the need for sustainable practices to ensure food security for years to come.
For more information on the global agricultural impact of recent conflicts, check out this report from the World Food Program.
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Agriculture, Iran war, Oil and gas industry, Energy industry, Energy markets, Transportation and shipping, International trade, Strait of Hormuz, General news, AFRICA PULSE, Tariffs and global trade, Future of food, Business, Oliver Oliveros, Dirk Peters, Raj Patel, Iran, India, Chris Lawson, Climate and environment, Joseph Glauber, Iran government, Carl Skau, Ali Bahreini, Owen Gooch, World news, United Nations, Baldev Singh, Stephen Muchiri, World News
