Disruption of Gulf maritime corridor threatens agricultural stability as fertilizer exports exceed hydrocarbon transit volumes.

Fertilizer supplies are at risk as the Strait of Hormuz closure halts nearly 50% of global sulphur and 31% of urea shipments, threatening food security.

By: AXL Media

Published: Mar 3, 2026, 10:56 AM EST

Source: The information in this article was sourced from bne IntelliNews

Dominance of fertilizer transit over energy flows

The Strait of Hormuz serves as the primary artery for nearly half of the world's sulphur flows and approximately one third of global urea shipments. Industry estimates suggest that 44% of globally traded sulphur, a fundamental component for phosphate fertilizers, depends on this route. Additionally, the corridor handles 31% of urea, 18% of ammonia, and 15% of phosphate shipments. These figures surpass the 20% of the world’s oil and liquefied natural gas (LNG) that typically passes through the same channel, highlighting the unique vulnerability of the global food production system to this specific geographical chokepoint.

Sulphur production links to Gulf energy processing

The supply of sulphur is intrinsically tied to the regional energy sector, as it is primarily generated as a byproduct of oil and gas processing in Gulf states. Consequently, any disruption to energy production or maritime shipping in the region has a dual impact on the fertilizer industry. Agricultural producers are facing a simultaneous spike in raw material costs and transportation risks. Because natural gas is a primary feedstock for the production of nitrogen based fertilizers such as ammonia and urea, the rising energy prices associated with the conflict further exacerbate the financial strain on manufacturers.

Threats to staple crop yields in importing regions

The cessation of exports through the Strait has immediate implications for global food security, particularly for major importing regions in South Asia, sub-Saharan Africa, and parts of Latin America. These areas rely heavily on consistent fertilizer supplies to sustain the yields of staple crops, including wheat, maize, and rice. A prolonged closure of the corridor is likely to manifest as significant food inflation in these developing markets. As farm input costs rise, the ability of agricultural producers to maintain soil fertility and meet harvest targets becomes increasingly compromised.