Middle East Conflict Disrupts Fertiliser Supply for Northern Ireland Farmers
Iran blocked the Strait of Hormuz after attacks by the US and Israel on 28 February. One third of global fertiliser and one-fifth of world oil and liquefied natural gas pass through the strait.
John McLenaghan, Ulster Farmers' Union deputy president, stated fertiliser prices have risen sharply and supplies are unavailable. Farmers cannot obtain full orders during the spring planting season when application is most needed.
Alexis Maxwell, Bloomberg senior analyst on fertiliser and agriculture markets, noted spring crops require nutrients in a narrow timeframe. Current delays mean late deliveries will arrive after the optimal period.
Maxwell reported prices for urea and ammonia, key fertiliser components, have spiked near the 2005 record high. Some farmers may skip applications or pay premium costs, leading to reduced production.
Over 60% of UK fertiliser is imported, with 40% produced domestically. Northern Ireland once had a larger local fertiliser industry that has since contracted.
Maxwell indicated higher production costs and transport expenses from the conflict will drive food price increases into next year, even if hostilities end soon. All crops, from bread grains to vegetables and strawberries, depend on fertiliser.