Global conflict is driving real decisions on the farm.
In WOYM 404, Aaron Harries sits down with StoneX experts Mike O’Dea and Josh Linville to talk wheat markets, fertilizer supply and how disruptions in the Strait of Hormuz are adding volatility to both.
From rising crude oil to tighter nutrient supply, this episode breaks down what it means for producers – and where opportunity could be.
Global conflict is colliding with farm economics in this episode of Wheat’s on Your Mind. Host Aaron Harries is joined by Mike O’Dea, risk management consultant at StoneX, and Josh Linville, vice president of fertilizer at StoneX, to unpack the fast-moving fallout from the Iran conflict and the closure of the Strait of Hormuz. Together, they explain why wheat prices were already moving higher before the latest geopolitical shock, how crude oil is adding fresh volatility, and why current rallies may create marketing opportunities for producers.
The discussion also explores the fertilizer side of the equation in detail. Linville explains how much of the world’s urea and phosphate trade depends on the Middle East, why the spring import window matters so much for U.S. growers, and how delayed buying patterns could worsen supply problems. O’Dea connects those fertilizer risks back to wheat production, protein, corn acres, and broader crop competition, offering listeners a grounded look at how global events can quickly reshape decisions at the farm gate.
Top 10 takeaways
- Wheat was already rallying before the Iran conflict due to fund short covering, and crude oil volatility added another layer of support.
- The Strait of Hormuz is a critical chokepoint for global fertilizer trade, especially urea.
- This is landing at the worst possible time for U.S. growers because April is the key fertilizer import arrival month.
- Fertilizer risk is broader than nitrogen; phosphate supplies are also vulnerable because several major suppliers are constrained.
- Higher fertilizer prices could reduce application rates, trim yields, and create protein concerns in wheat.
- Delayed fertilizer buying by farmers, retailers, and distributors may worsen spring bottlenecks.
- Even if the conflict eases quickly, logistics and manufacturing delays mean supply chains will not normalize overnight.
- Grain rallies tied to fear can reverse quickly, which is why O’Dea frames this as a pricing opportunity rather than a guaranteed long-term bull market.
- Crop acreage decisions could shift as producers weigh fertilizer costs, corn demand, soybean oil strength, and competition from canola and pulses.
- The episode makes a strong case for more U.S. fertilizer production capacity, though cost and mineral access remain major barriers.
Listen to the full podcast below.
