Fertilizer Crisis Could Slash Global Grain Production by 40%, UN Food Official Warns

A top United Nations (UN) food official has warned that high prices and shortages of fertilizer could slash global grain production by upward of 40 percent.

The fertilizer crisis is already putting a heavy burden on the food supply chain as Russia’s invasion of Ukraine continues.

For farmers around the world, prices for fertilizer are now too high ahead of the next planting season.

According to Maximo Torero, chief economist from the Food & Agriculture Organization (FAO) of the United Nations (UN), the impact will be devasting on the world’s grain supply.

Torero told Bloomberg TV that elevated fertilizer prices could decrease global grain production by over 40 percent in the next season.

Combine food supply chain disruptions due to the war in Ukraine and crop failures worldwide due to extreme weather — ramping up food production with reduced fertilizer next planting season via key exporting countries could be challenging.

High fertilizer prices are expected to shrink the world’s rice production, according to Zero Hedge.

The grain feeds half of humanity and is vital for political and economic stability across Asia and Sub-Saharan Africa.

Supply disruptions could spark social instabilities in those areas of the world.

Other UN officials in recent weeks have stepped up warnings about the affordability crisis of fertilizer.

Prices in North America have come off the highs but remain 220% above levels in early 2020.

The African Development Bank warned the continent lacks 2 million metric tons of fertilizer.

“We are really starting to yell from every tower that there’s a fertilizer crisis … and the fertilizer crisis is enormous,” one UN official who spoke on the condition of anonymity told Politico.

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Artificial fertilizers contain three primary ingredients: nitrogen, phosphorus, and potassium.

Farmers use the final product to boost crop yields — if prices remain elevated because of shortages, fewer fertilizers will be used.

The issue means harvests next season will shrink, continuing a multi-year food crisis that might only worsen.

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By Frank Bergman

Frank Bergman is a political/economic journalist living on the east coast. Aside from news reporting, Bergman also conducts interviews with researchers and material experts and investigates influential individuals and organizations in the sociopolitical world.

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