Global rice supply faces risks from high fertilizer prices and El Nino

Source: vietnambiz.vn Rice plays a pivotal role in global food security. Any disruption in supply, no matter how small, can create a ripple effect across countries, increasing costs and putting pressure on household budgets, particularly for price-sensitive consumers in Asia and Africa. In April, the Food and Agriculture Organization of the United Nations (FAO) had forecast a 2% increase in rice production, reaching a record high in the 2025-2026 crop season. According to producers and traders, the impact of the Iran war is directly affecting farmers in major exporting countries, as well as import-dependent nations like the Philippines and Indonesia. The war has disrupted the flow of fuel and fertilizers through the Strait of Hormuz, a vital gateway connecting the Gulf region to the global market. Farmers in Southeast Asia, primarily small-scale producers, are also facing increasing pressure as the El Nino weather phenomenon is expected to cause drought and heat waves in the ...