Food prices to rise
The UK’s National Farmers’ Union warned that the Iran war is set to push up prices for cucumbers, tomatoes and peppers, signaling broader near‑term food inflation tied to supply disruptions. Analysts say chokepoints and higher energy costs are already pressuring fresh‑produce availability. (bbc.com)
The NFU met with Defra Secretary Emma Reynolds and Farming Minister Dame Angela Eagle on 11 March to press for urgent action on energy and fertiliser resilience for UK growers. (nfuonline.com) NFU president Tom Bradshaw warned the situation has triggered an “inflationary wave” that he expects to peak in the autumn, and he said food inflation is unlikely to exceed the 19.2% year‑on‑year rise recorded to March 2023. (independent.co.uk) Tanker traffic through the Strait of Hormuz — which normally carries about 20% of global oil and LNG flows — has been largely suspended since strikes on Iran on 28 February, a disruption that helped push Brent crude above $100 per barrel in early March. (bbc.com) Container lines including Maersk have suspended transits through the Gulf and rerouted services, while Drewry’s World Container Index climbed to $2,172 per 40ft and was up about 2% week‑on‑week in mid‑March, lifting freight and haulage costs. (cnbc.com) The NFU highlighted that UK glasshouse growers rely on natural gas for heating and are therefore immediately exposed to energy price spikes, and several Middle East fertiliser plants have closed or curtailed output, tightening global fertiliser availability. (finance.yahoo.com)
