Fertilizer prices are surging as the U.S.-led war in Iran disrupts global supply chains, threatening food security worldwide. Shipments through the Strait of Hormuz have stalled, with plants in India, Algeria, and Slovakia cutting production due to rising natural gas costs. China has restricted fertilizer exports, compounding the crisis for farmers already facing higher input costs.

Nearly a third of the world's fertilizer moves through the Strait of Hormuz, making the Middle East a critical supplier second only to Russia. The conflict has caused urea prices to jump 50% and ammonia prices to rise 20% in just weeks. Major agricultural producers like India and Thailand face potential shortages, while U.S. farmers entering spring planting season are seeing costs escalate.

The World Trade Organization warns that Persian Gulf states could face food shortages given their dependence on imports for staples like rice and corn. Analysts say the fertilizer crisis could have more far-reaching economic effects than oil price spikes, with potential knock-on impacts for global food prices. The Trump administration has lifted sanctions on fertilizer from Belarus and Venezuela in an attempt to alleviate the pressure.