About 180 million metric tons of fertilizers are consumed each year, and Forbes said roughly 55 to 60 million metric tons of urea move through international seaborne trade annually. The Middle East accounts for approximately 40 to 50 percent of that traded volume, and nearly all of those exports have to travel through the Strait of Hormuz (hor-MOOZ). “In other words, close to one-quarter of the globally traded nitrogen fertilizer, and a meaningful share of total nitrogen production, moves through a single maritime choke point that is now threatened by war,” Forbes said. The Associated Press reported that oil prices rose on Monday as disrupted tanker traffic through the Strait raised more uncertainty about how U.S. and Israeli attacks on Iran would impact the supply of oil to the world’s economy. “Unlike oil, fertilizer markets lack a strategic buffer against shipping delays,” Forbes added.
Welcome
