Washington: The US agriculture secretary announced that an announcement will soon be made to lower urea prices, which have been significantly impacted by the closure of the Strait of Hormuz. Currently, urea prices are nearing $600 per ton.

According to Anadolu Agency, urea prices have surged nearly 34% over the past month, reaching $594, and have climbed about 54% since the start of the year. The Strait of Hormuz, a critical passage for global commerce, accounts for more than 30% of global urea shipments, and its closure has exacerbated the price increase.

US Agriculture Secretary Brooke Rollins emphasized the administration's awareness of the challenges facing the agricultural sector. "The president is very aware of these challenges and these issues. We are very close to having an announcement on some solutions on what that looks like," Rollins stated. She also mentioned that efforts are underway to explore all possible measures to mitigate rising fertilizer costs as the planting season approaches.

The escalation in tensions followed joint attacks by Israel and the US on Iran on February 28, resulting in the death of Iran's then-Supreme Leader Ayatollah Ali Khamenei and approximately 1,300 other casualties. In retaliation, Iran launched drone and missile strikes targeting several countries, including Israel, Jordan, Iraq, and Gulf nations hosting US military assets. Consequently, Tehran has effectively closed the Strait of Hormuz since March 1, affecting global urea shipments and contributing to the current price surge.