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Strait of Hormuz disruptions drive fertiliser prices higher

16 March 2026 17:24

Disruptions to shipping through the Strait of Hormuz are driving up global fertiliser prices and raising concerns about food production in several regions.

While the strait is widely known as a key route for oil exports, it is also a critical chokepoint for fertilisers. Around one-third of global seaborne fertiliser trade passes through the narrow waterway, Caliber.Az reports via foreign media.

Gulf producers account for approximately 43–49% of global urea exports and about 30% of ammonia exports. The region also ships roughly 44% of the world’s seaborne sulfur, a key input in fertiliser production.

Nitrogen fertilsers such as urea and ammonia are essential for maintaining crop yields. Their production depends on cheap natural gas, which gives Gulf countries a competitive advantage. Nearly all fertiliser exports from Qatar, Saudi Arabia, the United Arab Emirates and Iran must pass through the Strait of Hormuz.

Since late February, fertiliser prices have risen by about 30%. Ships carrying fertiliser are reportedly stuck in Gulf ports, and shipping disruptions are affecting deliveries during the critical spring planting season in multiple regions.

Several countries are already feeling the impact.

In India, Pakistan and Bangladesh, rising fertiliser prices are adding pressure, while natural gas shortages are also affecting domestic fertiliser plants. In Brazil, higher fertiliser costs threaten soybean production. China and countries in Southeast Asia are facing sharp price increases. In parts of Africa, shortages could worsen food insecurity.

By Sabina Mammadli

Caliber.Az
Views: 72

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