Iran crisis sparks farm chemical crunch, threatening food supplies

It’s not just oil. War with Iran is also making a range of chemicals critical for food production more expensive, including fertilizer components like urea and ammonia, Bloomberg reports.

The Middle East is the source of some 45% of the global urea supplies, which cannot be stored for long periods.

That means logistical disruptions such as the shutdown of the Strait of Hormuz can quickly tighten the market and send prices soaring.

Western sanctions have curtailed imports of Russian fertilizers, while China has imposed export restrictions to protect domestic demand and support its farming sector, the news agency said.