Reuters news agency said the world’s farmers face soaring fertilizer and fuel prices as the war in the Middle East escalates, leaving some scrambling for supplies as the spring planting season approaches.
The war, which has closed the Strait of Hormuz, has shut down fertilizer plants in the region and severely disrupted shipping routes, potentially curbing supplies to key importers around the world .
Europe. China, India and Australia will likely be more impacted by fertilizer shortages for this year’s planting season than farmers in Canada and the United States. Their suppliers either produce on the continent or have most of their imported stocks en route or in place.
Shipments from the Middle East are likely to drop not only because transit through the Strait of Hormuz has all but stopped, but also due to cuts in production.
Qatar Energy has had to stop production at the world’s largest single-site urea plant, as it lost its source of natural gas feedstock after the company shut down gas output due to attacks on its LNG facilities.
At the same time, sulfur output has been cut in other parts of the Middle East.