Strait of Hormuz conflict threatens fertilizer supplies to US farmers

WASHINGTON (CNN)– The conflict in the Strait of Hormuz has disrupted global fertilizer shipping, causing price surges and supply concerns for American farmers.

The disruption comes as growers across the United States begin the spring planting season.

The Strait of Hormuz is a critical waterway for transporting both finished fertilizers and the raw materials needed to manufacture them. The United States currently imports about 35% of its total fertilizer needs every year, often relying on just-in-time deliveries to meet seasonal demands.

The Strait of Hormuz serves as a primary chokepoint for the international fertilizer trade. The waterway accounts for approximately half of the world’s supply of urea, a nitrogen fertilizer frequently used for crops such as corn. It also handles about a third of global ammonia exports and significant shipments of sulfur. Ships carrying these materials have essentially stopped moving through the region since the conflict began.

The disruption has led to immediate price increases for agricultural inputs.

Pivot Bio CEO Chris Abbott said, “I’ve not seen this level of disruption before. Urea prices are up 50% since that Friday before.”

John Newton, vice president of public policy and economic analysis at the American Farm Bureau Federation, said, “With the closure of that strait, it’s lifted prices here in the United States by several ...