Former CIA analyst Larry Johnson warns the escalating Iran conflict could choke off 20% of global oil, 25% of LNG, and more than a third of fertilizer exports

Agriculture fertilizer and Hormuz. One third of global fertilizer goes through the strait.

The conflict in Iran threatens to disrupt a major fertilizer production and shipping hub, raising the risk of higher crop costs and food inflation.

The Gulf region is home to some of the world’s largest fertilizer plants, and the Strait of Hormuz handles about one-third of the global trade for the nutrients. Prices were already high before the latest conflict in the Middle East erupted, and the fresh tensions come as Northern Hemisphere farmers are set to start applying the products to their fields.

The timing of the conflict “literally could not be worse” for the industry, Josh Linville, vice president for fertilizers at brokerage StoneX Group, said by email. “There is never a good time for war, but this couldn’t be much worse.”

The conflict is already impacting the market. On Monday, Qatar shut down liquefied natural gas production at the world’s largest export facility after it was targeted in an Iranian drone attack. Natural gas is a crucial input for nitrogen-based fertilizers.

https://www.farmprogress.com/marketing/fertilizer-prices-set-to-spike-what-the-iran-conflict-means-for-your-farm