Iran Conflict Disrupts Fertilizer Supplies: ‘Timing Is Detrimental’
The partial closure of the Strait of Hormuz is severely impacting global fertilizer supplies, particularly affecting Canadian farmers as they prepare for the spring planting season. This narrow waterway is crucial for transporting energy and fertilizers, supplying about one-third of the world’s trade in essential nutrients, according to Kreg Ruhl, vice-president of crop nutrients at Growmark.
Iran Conflict Disrupts Fertilizer Supplies
Recent tensions in the Middle East have escalated, with Iran threatening ships attempting to cross the Strait of Hormuz. As a result, global fertilizer production is under threat. Michael Bourque, President of Fertilizer Canada, emphasizes that disruptions in global production can have ripple effects throughout the market.
Impact on Canadian Agriculture
Canadian farmers, who produce 32.8% of the world’s potash—approximately 76.1 million tonnes in 2024—are not insulated from these supply chain issues. Despite being the leading potash producer, Canada relies on imports for other vital fertilizer components. Ryan Flitton of Twin Valley Farms underscores the importance of nitrogen and other nutrients that are not produced domestically.
- Canada’s Potash Production: 32.8% of global total
- Potash Volume: 76.1 million tonnes in 2024
Rising Prices of Fertilizer
The volatility in the supply chain is expected to elevate fertilizer prices further. Philip Rumley from North Rumley Farm noted that urea prices have reportedly surged to $1,200 a ton. He warns that farmers who have not secured their fertilizer ahead of planting risks facing significant challenges.
Mike von Massow, a food economist at the University of Guelph, adds that the closure of the Strait may also impact the transportation of liquefied natural gas and crude oil. He suggested that the absence of other transport methods could exacerbate freight costs across Canada.
Previous Challenges in Fertilizer Supply
The current disruptions are not the first challenges to Canadian fertilizer suppliers. In late 2025, former U.S. President Donald Trump threatened to impose tariffs on Canadian fertilizer. Earlier tariffs had already stressed the relationship between U.S. and Canadian agricultural sectors.
- Tariffs Introduced: March 2025 – 25% on goods from Canada and Mexico
- Revised Tariff: Reduced from 25% to 10% for Canadian potash imports
Despite these uncertainties, Nutrien—a Saskatchewan-based company and the largest global provider of crop inputs—projects potash sales of 14.1 million to 14.8 million tonnes this year.
Farmers’ Next Steps
As the spring planting season approaches, demand for fertilizers is approaching a peak. Farmers are encouraged to stay informed about supply updates from local agricultural retailers to manage their purchasing effectively amidst these turbulent times.
