MPs have raised concerns about the impact of the Iran conflict on farmers, warning that rising input costs and supply chain disruption could place further strain on farm businesses.
The NFU briefed MPs ahead of a special parliamentary session on supply chain fairness, highlighting the increasing pressure on growers and livestock producers as global markets react to the conflict.
The war has disrupted oil and gas markets, pushing up energy-related costs across agriculture. This includes fuel, fertiliser and other key inputs, which are heavily exposed to global price volatility.
Cost pressures
Farm leaders say the knock-on effect is already being felt on farm. Higher diesel and fertiliser costs are increasing the cost of production at a time when many commodity prices have not kept pace.
The NFU has told MPs that farmers are facing “immense pressure” as a result of the disruption to global energy markets. Fuel and fertiliser supplies were among the hardest hit prices, said the union.
But there are also concerns about availability. Previous geopolitical shocks have shown how quickly fertiliser supply can tighten, particularly where production depends on natural gas.The union has stressed that supply chain resilience remains a key issue. It is continuing to feed evidence from members into government, focusing on transparency and fairness across the supply chain.
MPs on the House of Commons EFRA committee have been examining how shocks such as global conflict can ripple through agricultural markets, affecting everything from input availability to farmgate returns.
Farmers continue to weigh the implications of high fuel and fertiliser costs, with some growers warning that they may leave fields fallow this autumn unless cereal margins improve because drilling crops would be unprofitable.
Policy focus
The NFU is calling on government to recognise the strategic importance of agricultural inputs and to take a longer-term approach to resilience. The situation underlines the need for better planning around food security, it has warned.
While the conflict remains outside farmers’ control, its effects are being felt directly on farm businesses. MPs are also being urged to consider how best to support domestic food production in an increasingly volatile global environment.
The government says it is doing all it can to ensure fuel and fertiliser is able to be transported through the Strait of Hormuz, off the coast of Iran, which has been subject to repeated blockades.