Fertilizer exports through the Strait of Hormuz have resumed and increased to pre-war volumes - Bloomberg
Kyiv • UNN
Fertilizer supplies through the Strait of Hormuz rose to 530,000 tons last week, returning to pre-war levels. This led to a decrease in fertilizer prices and a weakening of shortage risks.
Fertilizer supplies through the Strait of Hormuz sharply increased supply on the global market last week. Overall, export volumes are quickly returning to pre-war levels. This is reported by Bloomberg, citing analytics from the company Kpler, writes UNN.
Details
After the start of the US operation against Iran and the blockade of Hormuz, a significant portion of shipping in the strait area was effectively blocked. At that time, over 40 vessels carrying fertilizer cargoes were in the queue.
After the conclusion of temporary agreements between the US and Iran, at least 16 vessels with urea and other fertilizers have already passed through the strait. Total supply volumes over the past week have increased to approximately 530 thousand tons – whereas earlier they had almost come to a halt.
Before the escalation, about a third of global urea trade – a key component for agricultural production – passed through the Strait of Hormuz.
Analysts note that the restoration of logistics has already impacted global markets: fertilizer prices have begun to decline, and the risks of shortages are gradually weakening.
Analysts emphasize that the stabilization of supplies reduces pressure on the market, although a full recovery of supply chains still requires time due to delays in maritime logistics.