The average fertilizer consumption in Iran stands between 80 and 90 kilograms per hectare, which is much less than the global average of 130 kilograms per hectare, according to the head of Soil and Water Research Institute, affiliated with the Agriculture Ministry.
“Research shows average phosphate levels of 70% and potassium levels of 50% in Iran’s farmlands are lower than critical levels,” Hadi Asad-Rahmani was also quoted as saying by IRIB News.
According to the official, demand for chemical fertilizers is close to 5 million tons per year in the country, with potassium, phosphate and nitrogen fertilizers accounting for 4.5 million tons of the total volume.
“Apart from chemical fertilizers, we need more than 1.5 million tons of organic fertilizers every year,” he added.
Noting that Iran is self-sufficient in producing urea, he said, “The production and procurement of potassium and phosphate fertilizers have always faced difficulties. Over the past three years, the private sector has entered the field and we have seen good initiatives in chemical fertilizer production. Part of the rise in last year’s wheat harvest was due to the domestic growth in the production of this kind of fertilizer.”
According to a joint report by the Food and Agriculture Organization of the United Nations and the World Trade Organization, the rise in fertilizer prices, which tends to be higher than the rise in the prices at which farmers receive them, is also squeezing producer margins. This could imply, in turn, a lower affordability and input use by farmers, affecting food availability and compounding the food access problem.
The use of mineral fertilizers has played a key and historical role in raising agricultural productivity, thus contributing to food security globally. While such fertilizers have come under increasing scrutiny because of their harmful environmental impacts, and despite efforts to reduce their use through innovative agro-ecological practices, today only a few alternatives are both commercially viable and widely available. As such, amid the ongoing crisis, countries prone to food insecurity have no other short-term options than to support their use.
The report says international fertilizer supplies are likely to remain restricted in 2022-23 since stocks are low and geopolitical tensions have led to additional supply restrictions, giving rise to concerns about both reduced fertilizer availability and access, as well as adverse effects on food production and food security. Overall market tightness and pressure on quotations could conceivably extend into several crop seasons ahead; that said, on-farm demand in major importing countries has been easing over the third and fourth quarter of 20227, resulting in rising stocks and downward pressure on prices for practically all major nutrients.