The Strait of Hormuz is blocked not only oil but also obstructs one-third of global maritime trade in fertilizer.
The passage through the Hormuz Strait is blocked, not only impacting global energy but also the supply chain of fertilizers and food. It is currently a critical period for agricultural planting in many African countries, and in Kenya, local farmers have already felt the pressure of fertilizer shortages and price increases. It is reported that the Hormuz Strait accounts for about one-third of the global maritime trade in fertilizers, and over 30% of fertilizers in countries like Kenya in Africa depend on imports from the Middle East. With the planting season approaching, trade interruptions will impact the agricultural productivity of countries like Kenya that rely on imported fertilizers. Government-subsidized fertilizers are hard to come by, while the prices of fertilizers in the market are soaring. A local fertilizer dealer did the math: the government-subsidized fertilizer is priced at around 2500 Kenyan shillings per bag, equivalent to approximately 133 RMB, while a bag of regular fertilizer in the market has now risen to 7200 Kenyan shillings, approximately 383 RMB, nearly three times the subsidized price. For dealers, the price hike is due to cost pressures, and to make it affordable for farmers, they have started turning to selling relatively cheaper organic fertilizers.
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