Sri Lanka is facing a critical fertiliser crisis, as well as food and commodity import issues due to the Gulf conflict and the subsequent closure of the Strait of Hormuz. This situation has triggered severe shipment disruptions and rapid price spikes for essential agricultural inputs and food imports. Sri Lanka could be among the worst [...]

Business Times

Hormuz closure threatens SL’s food security

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Sri Lanka is facing a critical fertiliser crisis, as well as food and commodity import issues due to the Gulf conflict and the subsequent closure of the Strait of Hormuz.

This situation has triggered severe shipment disruptions and rapid price spikes for essential agricultural inputs and food imports.

Sri Lanka could be among the worst hit in disruption to fertiliser supplies from the US – Israeli war on Iran, a UN agency report showed.

The report said 36 per cent of Sri Lanka’s fertiliser imports come through the Strait of Hormuz, behind Sudan at 54 per cent and ahead of Australia at 32 per cent.

In order to ensure stability, the Ministry of Agriculture has planned emergency measures, including the import of urea from China, thus avoiding West Asian shipping risks.

Global urea prices have jumped from roughly US$ 470 to over $ 584 per tonne in early March 2026, with some markets seeing spikes up to $ 720 per tonne.

Analysts warn that if global markets continue to tighten, the price of a standard 50 kg bag of urea in Sri Lanka could rise to Rs. 15,000 -20,000 at present from Rs. 9,200 sometime back.

While official claims suggest stocks are sufficient for the current season, farmers’ unions have raised alarms about degrading storage conditions and delays in securing supplies for the upcoming season. The alarm has been raised by the National Agrarian Union, which says that the government is failing to guarantee adequate fertiliser supplies to the country amidst the growing global uncertainties.

According to the Union President, Anuradha Tennakoon, the claims of the government that Sri Lanka has adequate fertiliser supplies to last the country for two years cannot be taken seriously.

He contested the claims of the Deputy Agriculture Minister, Namal Karunarathne, who earlier assured the public that fertiliser supplies would not be a problem for the country in the near future.

These imports make Sri Lanka highly sensitive to global food price fluctuations. If fertiliser shortages reduce agricultural output in major exporting countries such as India, Russia, or Australia, international grain prices could rise sharply, A.D Magedaragamage Strategic Advisor Geopolitics/Security/Policy told the Sunday Times Business.

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