Middle East Conflict Impacts South Australian Farmers

0:00For Mattelade, this is your March 5th update. The Middle East conflict has driven a crisis for Urea, a key ingredient in fertilizers that South Australian farmers rely on. Most Urea comes from that region, and costs have jumped more than $100 United States dollars per tonne since early this month, now, topping five. $100 per tonne. Grain producers South Australia says this hits at the worst time with already slim profit margins for growers. Rebel bank research warns that around 30% of global Urea exports could face disruptions if the trade of hormones closes. The conflict started with a joint Israel United States strike on Iran last Friday, raising fears of longer term supply issues. Farmers who stocked up for seeding might still need more if rains continue. Leaders in agriculture are worried about added pressure from rising fuel costs too. Grain producers South Australia notes the Middle East buys a lot of local grain, including $135 million worth ship to Iraq last year.

1:02The state's trade and investment minister says exporters could take a big hit. Shipping delays are piling on, with marine routes like the Suez Canal adding 10 to 20 days for trips to Europe. Perishable goods exporters, such as me producers, face the biggest risks. Meanwhile, petrol prices are climbing, squeezing households and businesses alike. Economists highlight broader inflation dangers from higher freight and fuel expenses. Australia refines much of its oil from Middle East sources via Asia, and with a 36-40-day stockpile, costs will soon bite harder. Experts now see a greater chance of a reserve bank rate hike in March to curb rising pressures. Thanks to our sponsor for helping bring you this episode, comfort. You can hear sound you can relax into S-O-L-I-SoliPillo.com.