Out of Hormuz Energy Shocks, the Ingredients for a Global Food Crisis
Key Highlights
- ➤29% of global urea trade normally passes through the Strait of Hormuz
- ➤Bangladesh has idled four of five urea plants since March 2026
- ➤Diesel crack spread topped $100 per barrel in September’s first week
- ➤Brazil corn forecast cut 6 million metric tons to 137 million metric tons
- ➤Global food-market impacts may emerge forcefully in 2027
Expert Statements
Daniel Yergin, Author, S&P Global Institute
“The world's food producers rely on a steady supply of natural gas and sulfur for fertilizer, diesel for machinery and transport, and open sea-lanes for trade.”
Shankari Srinivasan, Author, S&P Global Institute
“The world's food producers rely on a steady supply of natural gas and sulfur for fertilizer, diesel for machinery and transport, and open sea-lanes for trade.”
Allan Pickett, Author, S&P Global Institute
“The world's food producers rely on a steady supply of natural gas and sulfur for fertilizer, diesel for machinery and transport, and open sea-lanes for trade.”
Simon Blakey, Author, S&P Global Institute
“The world's food producers rely on a steady supply of natural gas and sulfur for fertilizer, diesel for machinery and transport, and open sea-lanes for trade.”
Daniel Yergin, Author, S&P Global Institute
“pressure building in fertilizer and diesel markets”
Shankari Srinivasan, Author, S&P Global Institute
“pressure building in fertilizer and diesel markets”
Allan Pickett, Author, S&P Global Institute
“pressure building in fertilizer and diesel markets”
Simon Blakey, Author, S&P Global Institute
“pressure building in fertilizer and diesel markets”
Daniel Yergin, Author, S&P Global Institute
“The conflict has driven diesel prices up much faster than crude oil prices, exposing farmers to a sharp increase in operating costs.”
Shankari Srinivasan, Author, S&P Global Institute
“The conflict has driven diesel prices up much faster than crude oil prices, exposing farmers to a sharp increase in operating costs.”
Allan Pickett, Author, S&P Global Institute
“The conflict has driven diesel prices up much faster than crude oil prices, exposing farmers to a sharp increase in operating costs.”
Simon Blakey, Author, S&P Global Institute
“The conflict has driven diesel prices up much faster than crude oil prices, exposing farmers to a sharp increase in operating costs.”
Daniel Yergin, Author, S&P Global Institute
“Biofuel policy is thus doing more than supporting demand. It is influencing what farmers plant in the middle of an input-cost shock.”
Shankari Srinivasan, Author, S&P Global Institute
“Biofuel policy is thus doing more than supporting demand. It is influencing what farmers plant in the middle of an input-cost shock.”
Allan Pickett, Author, S&P Global Institute
“Biofuel policy is thus doing more than supporting demand. It is influencing what farmers plant in the middle of an input-cost shock.”
Simon Blakey, Author, S&P Global Institute
“Biofuel policy is thus doing more than supporting demand. It is influencing what farmers plant in the middle of an input-cost shock.”
Daniel Yergin, Author, S&P Global Institute
“Farmers buy seed, fertilizer and fuel months before they sell a crop. The squeeze now bearing down on farm budgets may therefore not reach food markets in force until 2027.”
Shankari Srinivasan, Author, S&P Global Institute
“Farmers buy seed, fertilizer and fuel months before they sell a crop. The squeeze now bearing down on farm budgets may therefore not reach food markets in force until 2027.”
Allan Pickett, Author, S&P Global Institute
“Farmers buy seed, fertilizer and fuel months before they sell a crop. The squeeze now bearing down on farm budgets may therefore not reach food markets in force until 2027.”
Simon Blakey, Author, S&P Global Institute
“Farmers buy seed, fertilizer and fuel months before they sell a crop. The squeeze now bearing down on farm budgets may therefore not reach food markets in force until 2027.”
Daniel Yergin, Author, S&P Global Institute
“A global food crisis is not foreordained. But neither is it any longer a distant risk. If war continues to impede the movement of energy and fertilizer, and if weather cuts harvests across several major producing regions, the elements of such a crisis will be falling into place.”
Shankari Srinivasan, Author, S&P Global Institute
“A global food crisis is not foreordained. But neither is it any longer a distant risk. If war continues to impede the movement of energy and fertilizer, and if weather cuts harvests across several major producing regions, the elements of such a crisis will be falling into place.”
Allan Pickett, Author, S&P Global Institute
“A global food crisis is not foreordained. But neither is it any longer a distant risk. If war continues to impede the movement of energy and fertilizer, and if weather cuts harvests across several major producing regions, the elements of such a crisis will be falling into place.”
Simon Blakey, Author, S&P Global Institute
“A global food crisis is not foreordained. But neither is it any longer a distant risk. If war continues to impede the movement of energy and fertilizer, and if weather cuts harvests across several major producing regions, the elements of such a crisis will be falling into place.”
Out of Hormuz Energy Shocks, the Ingredients for a Global Food Crisis PR Newswire
High costs and shortages of fertilizer and fuel – combined with the looming effects of El Niño – are becoming a threat to global food security, S&P Global Analysis says
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