Conflict and Climate Drive Global Food Prices Higher

August 31, 2026 at 10:00 PM2 min

This digest was compiled by AI from multiple sources — links to the originals are below.

Conflict and climate change are combining to push food supply down and prices up worldwide. Farmers in Britain face the worst harvest since 1984 and a spike in livestock deaths, leaving many without cash to sow fields for the coming year. The closure of the Strait of Hormuz and Ukrainian strikes on Russian refineries have curtailed fertilizer and diesel supplies, further straining global agriculture.

Key Facts

Britain faces its worst harvest since 1984 and a spike in livestock deaths, leaving many farmers without cash to sow fields for the coming year.
The bluetongue outbreak in sheep has been particularly severe because high temperatures led to a larger-than-normal number of midges that spread the virus.
Fertilizer and diesel prices have skyrocketed after Iran closed the Strait of Hormuz and Ukraine damaged Russian oil refineries, forcing Russia to halt diesel exports.
The Colorado River, which supplies water to 40 million people, and the Rio Grande are drying up due to long-term drought in the southwestern United States.

British Farming Crisis

The worst harvest since 1984 and a spike in livestock deaths have left many British farmers without the cash needed to sow their fields for the coming year. Rain came too late for lost harvests and slashed yields, while livestock farmers are dealing with the worst bluetongue outbreak to reach British shores. Bluetongue, a disease that causes fertility problems and deaths in sheep, has been particularly bad this year because high temperatures have led to a larger-than-normal number of midges, which spread the virus. A decision to plant would almost certainly cause farmers to lose money, according to one farm leader.

Fuel and Fertilizer Shortages

Fertilizer and diesel prices have skyrocketed because supplies from the Persian Gulf area have been dramatically curtailed by Iran's closure of the Strait of Hormuz. Iran closed the strait in response to an attack on the country by the United States and Israel. Diesel has also become scarce because Ukraine has been damaging Russian oil refineries, forcing Russia to temporarily stop all diesel exports. Russia is the second largest oil producer in the world after the United States and routinely exports large amounts of oil and refined products such as diesel.

U.S. Water Crisis

Long-term drought is drying up the Colorado River, upon which 40 million people, including many farmers and ranchers, depend for water. The Rio Grande, a crucial contributor of water for agriculture and public water systems, runs almost dry in various locations below the New Mexico-Texas border because so much water is being withdrawn in the face of an ongoing drought. The Rio Grande stretches 1,900 miles from southwestern Colorado through New Mexico and then along the border of Texas and Mexico.