The China Mail - Egypt farmers hit by Iran war price surge

USD -
AED 3.672499
AFN 64.999737
ALL 82.125815
AMD 366.589327
ANG 1.790403
AOA 916.999882
ARS 1489.046535
AUD 1.43575
AWG 1.8
AZN 1.693717
BAM 1.712385
BBD 2.016198
BDT 123.381342
BGN 1.69088
BHD 0.377446
BIF 2978.067679
BMD 1
BND 1.292212
BOB 6.923833
BRL 5.111399
BSD 1.001007
BTN 95.359629
BWP 13.538502
BYN 2.861533
BYR 19600
BZD 2.013308
CAD 1.42095
CDF 2258.000256
CHF 0.808342
CLF 0.023592
CLP 928.512017
CNY 6.77695
CNH 6.782275
COP 3294.663573
CRC 455.36926
CUC 1
CUP 26.5
CVE 96.54161
CZK 21.248802
DJF 178.260299
DKK 6.548975
DOP 58.783873
DZD 133.214978
EGP 49.661603
ERN 15
ETB 160.578558
EUR 0.875801
FJD 2.233201
FKP 0.746145
GBP 0.746185
GEL 2.644996
GGP 0.746145
GHS 11.476601
GIP 0.746145
GMD 73.501389
GNF 8779.932583
GTQ 7.638226
GYD 209.403318
HKD 7.837972
HNL 26.799457
HRK 6.600502
HTG 131.007311
HUF 311.790141
IDR 18080.55
ILS 3.010901
IMP 0.746145
INR 95.330497
IQD 1311.38642
IRR 1374749.999543
ISK 125.639886
JEP 0.746145
JMD 158.166616
JOD 0.708992
JPY 162.505017
KES 129.387559
KGS 87.448797
KHR 4035.371886
KMF 432.000024
KPW 900.00035
KRW 1499.149885
KWD 0.30956
KYD 0.834216
KZT 471.916999
LAK 22573.217178
LBP 89643.129186
LKR 335.849057
LRD 181.788732
LSL 16.304951
LTL 2.95274
LVL 0.60489
LYD 6.411592
MAD 9.351311
MDL 17.593136
MGA 4291.905617
MKD 53.972771
MMK 2099.466399
MNT 3585.261694
MOP 8.082914
MRU 39.881802
MUR 47.080082
MVR 15.449869
MWK 1735.849057
MXN 17.724007
MYR 4.069698
MZN 63.901706
NAD 16.304951
NGN 1377.91963
NIO 36.834041
NOK 9.782598
NPR 152.575406
NZD 1.727265
OMR 0.384888
PAB 1.001007
PEN 3.400604
PGK 4.468765
PHP 61.447005
PKR 278.263976
PLN 3.79005
PYG 6085.890645
QAR 3.649433
RON 4.587097
RSD 102.77109
RUB 76.636169
RWF 1470.559909
SAR 3.759664
SBD 8.048583
SCR 14.56525
SDG 600.497916
SEK 9.714225
SGD 1.293897
SHP 0.746601
SLE 24.349845
SLL 20969.503664
SOS 572.078974
SRD 37.610501
STD 20697.981008
STN 21.450773
SVC 8.75892
SYP 110.532098
SZL 16.302587
THB 33.287982
TJS 9.264632
TMT 3.5
TND 2.958981
TOP 2.40776
TRY 46.984499
TTD 6.801208
TWD 32.113502
TZS 2630.214945
UAH 44.533818
UGX 3683.404106
UYU 40.362474
UZS 12090.355908
VES 708.806399
VND 26267.5
VUV 119.005629
WST 2.760902
XAF 574.317734
XAG 0.016706
XAU 0.000243
XCD 2.70255
XCG 1.804141
XDR 0.714267
XOF 574.317734
XPF 104.417108
YER 237.075007
ZAR 16.332502
ZMK 9001.198924
ZMW 18.04404
ZWL 321.999592
  • GSK

    0.3100

    52.78

    +0.59%

  • NGG

    0.2700

    82.59

    +0.33%

  • BP

    0.6500

    39.2

    +1.66%

  • RIO

    1.0500

    90.54

    +1.16%

  • RBGPF

    0.3500

    67.35

    +0.52%

  • BTI

    -0.0151

    60.02

    -0.03%

  • CMSC

    0.0650

    22.085

    +0.29%

  • RELX

    0.3700

    32.44

    +1.14%

  • RYCEF

    0.3800

    19.46

    +1.95%

  • AZN

    -6.8800

    171.61

    -4.01%

  • BCE

    0.0600

    21.38

    +0.28%

  • CMSD

    0.0700

    22.38

    +0.31%

  • BCC

    3.8200

    76.06

    +5.02%

  • JRI

    -0.0200

    13.01

    -0.15%

  • VOD

    1.6400

    14.72

    +11.14%

Egypt farmers hit by Iran war price surge
Egypt farmers hit by Iran war price surge / Photo: © AFP/File

Egypt farmers hit by Iran war price surge

Egyptian smallholders have seen their lives upended by the war in Iran, with soaring fertiliser and energy prices forcing many to lay off workers and reduce the amount of land they farm.

Text size:

Before the United States and Israel launched the war that would end up engulfing the region, Ashraf Abu Ragab cultivated a full acre with a small crew.

Now he farms just half on his own after sacking the workers he once relied on, and has quit growing wheat, a fertiliser-intensive crop.

"Everything has become more expensive," the 45-year-old told AFP, standing among rows of maize and sesame in the village of Nazlet Al-Shobak, about 50 kilometres (30 miles) south of Cairo.

"Fertilisers, seeds, chemicals. The crops no longer cover their costs."

With most expenses nearly doubling since the war began, Abu Ragab said farming "no longer pays", forcing painful cutbacks.

"I used to have three workers. Now I work with my own hands."

He is among thousands of smallholders in the vast nation struggling with rising input costs, from fertilisers and fuel to seeds and feed, as the Iran war hits global markets.

In Nazlet Al-Shobak, irrigation pumps sit idle for hours to conserve fuel.

Some plots lie uncultivated, while thin lines of grass grown as animal fodder weave between vegetables to stretch scarce inputs.

Nearby, dusty sacks of potatoes are piled along the field edges, some loaded onto trucks, others left to sit for weeks, as farmers gamble on prices that rarely improve.

A short walk away, a threshing machine spews clouds of dust and chaff as wheat pours out in a steady stream, rattling into worn brown sacks at farmers' feet.

Watching the harvest, tenant farmer Mohamed Ragab, 40, doubts it will bring profit.

"I will barely get by," he told AFP.

- 'Difficult choices' -

Disruptions to shipping through the Strait of Hormuz, a vital artery for global trade, have hit energy and fertiliser supplies.

In peace time, about one-third of traded fertilisers pass through the waterway, along with one-fifth of liquefied natural gas and 35 percent of crude oil.

Higher fuel costs have directly impacted agriculture, from fertiliser production and irrigation to transport.

"A significant share of critical inputs is being affected," Maximo Torero, chief economist at the UN's Food and Agriculture Organization (FAO), told AFP.

"Farmers will have to make difficult choices, using fewer inputs, switching crops or reducing irrigation, all of which lower yields," he said.

Although Egypt produces seven to eight million tonnes of nitrogen fertiliser annually and exports more than half, domestic access remains uneven.

The strain is compounded by domestic pressures. Egypt relies heavily on imported fuel, leaving it particularly exposed to global energy shocks.

Fuel prices rose by up to 30 percent in March, while the pound has shed around 15 percent of its value since the war began, pushing up the cost of imported seeds and feed.

Nitrogen fertilisers are particularly affected, as natural gas dominates production costs.

Sherif El-Gebaly, head of the Chemical Industries Chamber, told AFP granular urea has risen to $700–$750 per tonne, up from about $400 before the war.

- 'Very hard' -

The strain on farmers contrasts sharply with how fertiliser producers are benefiting from higher global prices and strong export demand.

Abu Qir Fertilizers, one of Egypt's largest nitrogen producers, said unaudited first-quarter profits more than doubled.

"Producers can export or raise prices," said Nader Nour Eldeen, a former supplies ministry advisor and now a Cairo University agriculture professor.

"Smallholder farmers don't have that flexibility," he told AFP.

Hussein Abu Saddam, head of the Farmers' Syndicate, expects fertiliser-intensive crops such as wheat, maize and rice to decline if costs stay high.

"The coming season will be very hard," he said.

Wheat accounts for around a third of Egypt's cultivated land, making any pullback significant for supply.

Egypt also imports 12–14 million tonnes annually to sustain its subsidised bread system.

In Nazlet Al-Shobak, Abu Ragab said he lost about half his investment last season but continues working, uncertain about what comes next.

"If prices stay like this, many farmers won't be able to continue," Abu Saddam said.

Torero warned that even if the Strait of Hormuz reopens tomorrow, markets "will take six to eight months to recover".

"It's not only fertilisers, it's energy, packaging, plastics, cooling," he said. "A whole range of inputs is being disrupted across the value chain."

Q.Moore--ThChM