Strait of Hormuz Closure Spikes Texas Fertilizer Prices
Texas nitrogen fertilizer prices surged up to 34% following the closure of the Strait of Hormuz, threatening higher costs for meat, dairy, and produce.
Nitrogen fertilizer prices in Texas spiked in early 2026, creating a ripple effect that threatens to increase grocery costs for meat, dairy, and produce. Between December and March, prices for nitrogen dry 46-0-0 rose 34% to $730 per ton, while anhydrous NH3 increased 27% to $900 per ton and nitrogen liquid 32-0-0 rose 12% to $510 per ton.
The Texas A&M AgriLife High Plains Research and Extension Center attributed the surge to the closure of the Strait of Hormuz. This maritime disruption cut off the supply of natural gas from the Middle East, a critical raw material used in fertilizer production.
Texas farmers face potential operational shifts, including planting fewer crops, switching crop types, or reducing their total fertilizer use to manage costs. A deadline to reopen the Strait of Hormuz was set for Tuesday, April 7, at 7 p.m., with warnings that a continued closure could lead to indefinite cost increases across multiple economic sectors.
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