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Cabinet Reviews FAO Report on Middle East Conflict Impact on Agriculture

Cairo: The Cabinet's Information and Decision Support Center (IDSC) highlighted on Tuesday, March 24, 2026, a report issued by the Food and Agriculture Organization (FAO) on the global repercussions of the ongoing conflict in the Middle East on the agriculture and food sectors. This review is part of the IDSC's ongoing efforts to monitor and analyze global indicators and reports related to Egypt or within its scope of interest.

According to State Information Service Egypt, the report noted that since the outbreak of the conflict, the world experienced a significant shock across global energy, fertilizer, and agri-food systems. The primary driver of this disruption has been the interruption of trade through the Strait of Hormuz, which accounts for around 25% of global seaborne oil trade, in addition to substantial volumes of liquefied natural gas and fertilizer exports.

The report detailed that oil tanker traffic through the Strait of Hormuz declined by more than 90%, severely restricting shipments. This disruption quickly spilled over into global energy markets and directly impacted the global agri-food system. The Gulf region's role as a major global hub for fertilizer production and exports is particularly important, with countries such as Iran, Qatar, Saudi Arabia, and Oman being leading exporters of nitrogen-based fertilizers, including urea and ammonia.

Approximately 30% of global fertilizer trade passes through the Strait of Hormuz. With maritime traffic disrupted and some production facilities damaged or temporarily shut down due to security concerns, fertilizer supply chains have been significantly affected. Production and shipping constraints have disrupted an estimated 3-4 million tons of fertilizer trade per month.