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Middle East conflict impacts international fertilizer supply chain; urea futures prices surge over 20%
After the US and Israel attacked Iran, not only did energy prices such as oil and natural gas soar, but the international fertilizer supply chain also experienced a significant impact. The Strait of Hormuz is a crucial global cargo transportation route. Al Jazeera reported on the 12th that disruptions in fertilizer supply will have a major impact on agricultural production in many regions. A report from the United Nations Conference on Trade and Development stated that shipping costs, including freight, shipping fuel, and insurance fees, are also rising, leading to increased transportation costs across the entire supply chain. Data shows that the main futures contract price for urea on the Chicago Mercantile Exchange has increased by over 20% compared to February 28, before the US and Israel’s strike on Iran. American agricultural experts pointed out that U.S. farmers will also be severely affected and may be forced to adjust their planting structures. @CCTV Finance(