🇺🇸 US farmers strained as Iran war sends fertilizer costs surging
US farmers are grappling with soaring fertilizer and fuel costs as supply disruptions coincide with the peak of the planting season, forcing many to reduce their usage and risk lower yields. pic.twitter.com/YqKWm6OySO
— AFP News Agency (@AFP) April 15, 2026
🚨 Fertilizer Prices Rise +87% YTD, Pushing Above $720 a Tonne pic.twitter.com/5eYRrPTEcA
— Hedgeye (@Hedgeye) April 16, 2026
The sharp +87% YTD rise in urea prices (now over $720/tonne) is primarily driven by the U.S.-Israel war with Iran, which began late February 2026. Strikes have restricted the Strait of Hormuz—handling ~1/3 of global seaborne fertilizer trade—cutting off Middle East nitrogen supplies and removing ~0.8M metric tons/month from markets.
Compounding factors include China’s urea export ban until August and Europe’s ongoing low production (75% of normal) from high natural gas costs. This hits right before peak spring planting, pushing up costs for nitrogen-based fertilizers like urea.