American farmers are grappling with soaring input costs as the U.S.-Israeli conflict with Iran disrupts global fertilizer and diesel supplies. Nearly 75 percent of farmers surveyed by Pro Farmer reported the crop sector is in recession, with high material costs being their biggest concern. The war has sent fertilizer prices surging, with urea now selling for $585 per ton at New Orleans ports, up from $470 before the conflict.

Input costs were already straining farmers before the war, with pandemic disruptions, the Ukraine conflict, and inflation driving prices higher while crop values remained stagnant. Farm debt and bankruptcies are rising, and 2026 is projected to be the third or fourth year of losses for most growers. The timing is particularly bad as farmers prepare for spring planting, with diesel fuel prices jumping nearly $1 per gallon in just the last week.

The American Farm Bureau is calling for the U.S. Navy to escort fertilizer shipments through the Strait of Hormuz, where one-third of global fertilizer trade passes. The Middle East's role in nitrogen fertilizer production through the Haber-Bosch process, which requires massive amounts of natural gas, makes the region crucial to global food security.