The Conflict with Iran continues to drag on, weighing heavily on global fertilizer markets. NDSU Associate Research Professor Shawn Arita says even with the announcement of the Strait of Hormuz reopening, it could still take weeks to months to clear out and assure safe passage for vessels. ” It’s not about when the street reopens, but how long it will take to renormalize the set of flows because there will have to be a sequence of events in terms of clearing the unknown amount of mines, making sure that the commercial vessels and the insurance companies have assurances that the strait is reopened.” Urea prices could skyrocket by the end of the year, according to Arita. “If there’s an extended scenario, then we are looking at prices on the urea side upwards of 600 dollars and higher through the beginning part of 2027.”
