Middle East Conflict Triggers Global Surge in Fertilizer Demand
- 12 Mar 2026 21:27 WIB
- Voice of Indonesia
RRI.CO.ID, Jakarta - Escalating conflict in the Middle East has triggered a surge in global demand for urea fertilizer, opening new export opportunities for Indonesia’s fertilizer industry.
Deputy Minister of Agriculture, Sudaryono, said many countries are seeking urea supplies from Indonesia to maintain agricultural production. “Because of this war, many countries want urea and are asking Indonesia to export large quantities, and they are even willing to pay any price,” he said in Jakarta on Thursday, March 12, 2026, as quoted by Antara.
Sudaryono explained that the high demand also creates opportunities for the national fertilizer industry to resume operations at older factories. Several facilities owned by state-owned fertilizer companies had previously been slated for replacement due to inefficiency. “This is an opportunity because the fertilizer factories that we previously planned to replace can resume production due to high overseas demand,” he said.
Indonesia has a strong urea production base through the State-owned Fertilizer Holding Company, PT Pupuk Indonesia. The company is among the largest urea fertilizer producers in the Asia Pacific, Middle East, and North Africa regions.
Corporate Secretary of Pupuk Indonesia, Yehezkiel Adiperwira, said the domestic fertilizer supply remains secure despite the geopolitical situation. He noted that Pupuk Indonesia Group’s production capacity reaches around 14.5 million tons of fertilizer per year.
According to Yehezkiel, national urea production is relatively independent because its main raw material, natural gas, is sourced domestically. Under these conditions, the escalation of conflict in the Hormuz Strait has no direct impact on fertilizer supplies for Indonesian farmers. ***