A conflict involving Iran, the U.S., and Israel began in late February 2026. This fighting severely disrupted commercial shipping through the Strait of Hormuz.
Gulf states account for nearly 50% of the world's seaborne urea exports. These nations also provide approximately one-third of all traded ammonia. Most of these supplies transit the Strait of Hormuz.
Fertilizer prices have surged by 30-40% due to the disruption. This supply crisis coincides with the start of the Northern Hemisphere's spring planting season.
The United Nations warns that a prolonged shortage could reduce global crop yields. International bodies expect significant increases in global food prices. Import-dependent nations face heightened food insecurity.