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Economy News, Latest Economic News Today | The HinduBusinessLine

GE, HAL clinch tech deal on joint jet engine plan India rejects USTR allegations, seeks termination of Section 301 probe Indian automobile sales record highest-ever sales in FY26, first time after FY19: SIAM Madhya Pradesh CM says basmati rice from the State is exported to 47 nations 63 Moons’ cybersecurity arm pilots GPS-spoofing solution at Indian airports Highways ministry notifies amendment to streamline fee for overloaded vehicles on NHs Global aviation crisis deepens as fuel shortage, Iran conflict hit airlines TRI launches agri-voltaic project to help farmers earn double income Hotel industry to hit $31 billion in 2029; listed hotel firms set to add 70k rooms by 2030: CBRE Temperatures may trend up over North-West, Central India until weekend Reduction in airport tariff credit neutral, minimal impact on revenue: Ind-Ra Global coffee prices rise as fertiliser costs and West Asia tensions threaten supply Bluspring Enterprises to acquire LSG Sky Chefs India, enters aviation catering sector China says policy to improve relations with India remains unchanged amid Arunachal naming row Research firms divided over impact of below normal monsoon on food inflation Unnat Krishi Mahotsav concludes, farmers to emerge as energy, fuel & hydrogen providers, says Gadkari Airlines may get ₹5,000 crore credit support under proposed ECLGS variant How kashmir’s breakthrough is making Gucchi mushroom farming possible Centre not taking away State’s power on bonus for agri produces, says FM Sitharaman Carriers cut flights on cost pressures, uncertain demand GE Aerospace scales AI from pilots to production; India anchors global capability West Asia crisis may push India’s current account deficit to 2% of GDP: Crisil Tax Dept to resume Tiger Global reassessment, says GAAR relief won’t alter SC ruling Ceasefire talks fail to restore vessel movement in Strait of Hormuz, fate of 599 ships remain inconclusive DMRC launches mid-life refurbishment of Blue Line trains to enhance safety and passenger experience Retail inflation likely rose 3.5-4% in March India-UK free trade pact may come into force from second week of May: Official 'West Asia war a good opportunity for energy reforms, lower costs for industry' India’s marine exports surge to ₹62,408 crore in 2024-25, Govt sets ₹1 lakh crore target PM Modi to inaugurate Dehradun-Delhi Expressway on April 14
Iran war forces farmers seek fertilizer alternatives from...
By PTI · 2026-05-31 · via Economy News, Latest Economic News Today | The HinduBusinessLine

When Senegalese farmer Abou Sow first watched US missiles strike Iran on social media, he had a sinking feeling it would soon affect agriculture in the West African nation. Since the war began on February 28, fertilizer prices have risen by 40%.

Sow was better prepared than most. Eight years ago, he gave up chemical fertilizers for organic compost and other natural sources. He now rallies farmers in Senegal to buy manure from local herders and gives advice on how to make a rich compost, picking out wriggling worms – a healthy sign.

“We can't afford to wait for a ceasefire,” Sow said. “It's risky to depend on chemical fertilizers." Iran's grip on the Strait of Hormuz has affected the supply of natural gas, essential for making chemical fertilizer, as well as global shipping.

The Gulf region produces 30% of globally traded chemical fertilizer, according to the International Food Policy Research Institute, and global prices have increased by 50%, according to the World Bank's fertilizer price index.

“The clock is ticking very hard,” said Maximo Torero, chief economist at the UN's Food and Agriculture Organization, as concerns grow about food security.

Experts say a shift away from chemical fertilizer could have wider benefits, as its production and usage create significant greenhouse gas emissions, the main driver of climate change.

Natural fertilizers, by contrast, can sequester carbon in the soil and create fewer problems like runoff that can pollute waterways.

“It's good for the planet because you're weaning food production off fossil fuels,” said Susan Chomba, member of the International Panel of Experts on Sustainable Food Systems, a think tank.

In Senegal, some are grateful for sheep manure -------------------------------------------------- Senegal annually imports 125,000 tons of fertilizer. The minister of agriculture, Mabouba Diagne, has said the state sourced enough chemical fertilizer for the current season, but farmers said it is increasingly difficult to find.

Farmer Aliou Fall blamed U.S. President Donald Trump for the soaring fertilizer costs. “He brings war to the world and he doesn't even think about it. Now farmers are suffering,” Fall said.

Annually, Sow applies six tons of compost instead. He said he is fortunate to be near a town where manure is plentiful because residents rear sheep for religious holidays.

In rural areas and remote fields, however, it is challenging to source and transport large quantities of manure, and Sow fears that some people will abandon their fields in this difficult time.

One alternative is the industry in biofertilizers, products containing bacteria and other microorganisms to help plants absorb nitrogen, a crucial nutrient for growth, from the air and soil. A growing number of companies in Africa make industrial quantities of compost with municipal waste, decomposing food waste into fertilizer.

Senegal's government announced in April it would subsidize and distribute 30,000 tons of organic fertilizer products to help farmers. Sow said that's not enough.

Governments around the world spend $700 billion annually on agricultural subsidies according to the Organization of Economic Co-operation and Development, with a large share spent on providing chemical fertilizer. Chomba said that makes alternatives more expensive and less competitive.

“You're incentivizing the wrong sort of products,” she said.

In Brazil, the biofertilizers sector is growing ---------------------------------------------- Brazil is a leading exporter of soybeans, coffee, sugarcane, beef and poultry. But the nation imports over 80% of its fertilizer, said Joana Colussi, assistant professor of agricultural economics at Purdue University.

The price of fertilizer has increased by 50% since the Iran war began, according to Luis Barbieri, founder of the Folio Institute, a Brazilian organization that connects farmers, scientists and researchers.

“Whenever we have a war, farmers' use of biofertilizers is turbocharged,” Barbieri said.

Despite the widespread adoption of chemical fertilizers in Brazil in the 1970s, they are less effective in the tropical climate because high rainfall and high temperatures cause runoff.

The biofertilizer sector grew 15% in Brazil from 2023 to 2024, according to the state-run Brazilian Agricultural Research Corporation, Embrapa. And patent laws mean that farmers can make their own biofertilizers at much lower cost.

In Mexico, however, very little progress has been made due to government subsidies promoting chemical fertilizer use and a lack of funding for alternatives, said Gerardo Noriega, a research professor at the Autonomous University of Chapingo and one of the country's leading advocates for organic fertilizers.

But he suggested the current crisis “may force (farmers) to adopt organic fertilizers more quickly than they had imagined.” (AP) AMS

Published on May 31, 2026