Finance
EU to Present Fertiliser Strategy on May 19 as Iran Conflict Raises Costs
Published by Global Banking & Finance Review®
Posted on April 22, 2026
2 min readLast updated: April 22, 2026
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The European Commission will unveil a fertiliser strategy on May 19 to bolster decarbonisation, affordability, domestic production, and supply diversification amid surging fertiliser costs linked to the Iran–Hormuz crisis.
EU to Present Fertiliser Strategy as Iran Conflict Raises Market Costs
By Alexander Chituc
European Commission's Fertiliser Action Plan and Market Impact
BRUSSELS, April 22 (Reuters) - The European Commission will present a fertiliser action plan on May 19, the Commission's agenda of policy announcements showed on Wednesday, to accelerate decarbonisation and address affordability issues made more urgent by the knock-on effects of the Iran war on an already tight market.
Objectives of the Fertiliser Action Plan
A Commission spokesperson said the plan aims to address structural vulnerabilities and market imbalances, boost domestic production of fertiliser and diversify supply chains, supported by regulatory adjustments if needed.
Additional Measures Announced
The Commission on Wednesday also announced measures to mitigate the impact of the Iran war on the European Union's energy markets.
Market Disruptions and Price Increases
Global fertiliser prices have jumped following the near total closure of the Strait of Hormuz, a narrow shipping route along Iran's coast through which around one-third of global fertiliser trade passes.
EU Fertiliser Supply and Price Trends
While the EU does not depend on the nitrogen-based fertilisers, namely urea, produced in the Middle East, prices for all types of fertilisers have risen as countries race to source alternatives.
As of April 7, western European urea prices had risen 55% from pre-war levels, according to consultancy Expana.
EU farmers are not currently facing a fertiliser shortage and have not yet been affected by the higher prices as they had largely fulfilled their 2026 planting season needs before the war began in late February.
Long-term Strategies for EU Fertiliser Autonomy
The Commission's plan will also include long-term measures to strengthen the EU's autonomy and accelerate the transition towards decarbonised, low-fossil and circular fertilisers, the spokesperson added.
(Reporting by Alexander Chituc, additional reporting by May Angel in London, editing by Julia Payne and)
Key Takeaways
- •EU will present a fertiliser action plan on May 19 to address affordability and decarbonisation needs.
- •The strategy aims to boost domestic fertiliser production, diversify supply chains, and may include regulatory adjustments.
- •Fertiliser prices have surged as nearly one‑third of global trade passes through the blocked Strait of Hormuz, raising food security concerns.
Frequently Asked Questions about EU to present fertiliser strategy on May 19 as Iran conflict raises costs
1When will the EU present its fertiliser strategy?
The European Commission will present its fertiliser action plan on May 19.
2Why are fertiliser prices rising in Europe?
Prices are increasing due to the closure of the Strait of Hormuz from the Iran conflict and increased global demand for alternatives.
3Is there a fertiliser shortage for EU farmers?
Currently, EU farmers are not facing a fertiliser shortage, as most have met their planting needs for 2026.
4What is the aim of the EU's fertiliser plan?
The plan aims to accelerate decarbonisation, address affordability issues, and strengthen EU autonomy in fertiliser supply.
5How has the Iran conflict affected fertiliser costs?
The conflict has led to a 55% rise in western European urea prices by disrupting key global shipping routes.