Dangote fertiliser demand rises as US–Israel conflict disrupts global supply; Africa’s largest urea plant eyes expanded exports and self-sufficiency
Demand for Dangote Fertiliser Plant has surged due to global supply disruptions caused by the ongoing US–Israel conflict with Iran, Bloomberg reports.
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Devakumar Edwin told Bloomberg that the spike in demand stems from shortages in the international fertiliser market.
“Demand has gone up substantially due to the shortage in the global market,” he said.
Much of the world’s fertiliser shipments pass through the Strait of Hormuz, which has been largely blocked by the conflict.
This has affected the export of urea and ammonia produced in Iran and pushed up natural gas prices, a key input in fertiliser production.
Dangote’s facility, Africa’s largest granulated urea plant, produces around three million tonnes of urea and ammonia annually.
The company currently exports about 37% of its output to the United States and aims to become the world’s largest urea exporter within four years.
Africa imports over six million metric tonnes of fertiliser yearly, a dependence that increases agricultural costs and exposes farmers to global supply shocks.
Last June, Aliko Dangote announced a $2.5 billion expansion of the fertiliser plant, aiming to make Africa self-sufficient in fertiliser within 40 months.
Dangote added that the company plans to export nearly 16,000 tonnes of fertiliser daily over the next two years, generating about $7 million in daily revenue for Nigeria.
He said this would make Dangote Fertiliser a major source of foreign exchange earnings.
“With our export programme, our company will be the major supplier of foreign exchange earnings in Nigeria,” he said.
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The expansion is expected to strengthen agricultural productivity across Africa while reducing reliance on imports and cushioning farmers from international market volatility.
David Okere is a journalist and contributor to Freelanews.com, covering business, governance, public affairs, and human-interest stories with a commitment to accuracy, balance, and public interest reporting.
