114Fertilizer and PesticideFood SecurityRisk NewsUrea Fertilizer

Iran’s Fertilizer Industry Has Only Two Months of Supply Resilience Left

Mr. Farshad Tayari, Chairman of the Iranian Fertilizer Manufacturers Association, warned that continued disruptions in the Strait of Hormuz and wartime restrictions are pushing Iran’s fertilizer supply chain toward a severe crisis.

While Iran can domestically manufacture most fertilizer formulas, Tayari said that 50% to 70% of the raw materials used in many specialized fertilizers still depend on imports, leaving the sector highly vulnerable to shipping disruptions and foreign currency shortages.

According to Tayari, the industry’s current resilience is estimated at no more than two months if import conditions do not improve. He also criticized government currency policies, noting that some companies imported raw materials years ago under subsidized exchange-rate schemes but still have not received the promised foreign currency reimbursements — a situation he says could push parts of the industry toward bankruptcy.

Mr. Tayari further pointed to electricity shortages, weak access to working capital, and rising production costs as additional pressures on manufacturers. He argued that removing fertilizer subsidies can only succeed if the government simultaneously increases guaranteed crop purchase prices for farmers. As long-term solutions, he proposed creating a dedicated national agricultural education media network and opening fertilizer exports to international markets to strengthen both food security and industrial sustainability.

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