Farmers across Asia, Africa, and Latin America are grappling with soaring fuel costs and shortages as the US-‘Israel’ war on Iran disrupts global energy flows, exposing the vulnerability of agricultural economies to rising oil prices.
In the Philippines, farmer Elmer Ullani returned from a trading post with empty fuel reserves despite selling his harvest. Rising diesel costs which is now at 125 pesos per litre in his remote town, have completely wiped out his earnings.
“During my first harvest, all the money I earned went to fuel,” Ullani said. Unable to pay workers and facing mounting losses, he painted a message on his truck: “Stop US-Iran War.”
The Philippines imports around 90 percent of its oil, making it highly exposed to global price shocks. Rising fuel costs have driven up transport and food prices, leaving farmers struggling to break even. Some have abandoned crops entirely, unable to afford the cost of bringing produce to market.
READ: Philippine transport strike set amid rising fuel prices
The crisis is also unfolding in Brazil, one of the world’s largest agricultural producers. The country imports around 30 percent of its diesel needs, leaving farmers exposed to global price increases. Demand for fuel is currently at an all-time high as producers harvest soybeans and plant the country’s second corn crop.
While state energy company Petrobras has not yet adjusted official prices, farmers are already feeling the impact. Suppliers in some regions, including Rio Grande do Sul, have reportedly restricted sales due to rising costs, creating immediate shortages.
“Diesel is a more immediate problem,” said Cleiton Gauer of Mato Grosso’s farm economy institute. Fuel and lubricants account for about 5 percent of farm costs, but are essential to keep operations running.
Agricultural representatives also warned of potential disruptions to fertilizer supplies, particularly nitrogen imports from Iran, though existing stockpiles may cushion short-term impacts. Meanwhile, fuel prices have already risen in some areas, with reports of increases of up to 1.5 reais per litre in parts of southern and central Brazil.
In South Africa, farmer Derek Mathews is racing against time to secure diesel ahead of harvest season. Standing on his 1,700-hectare farm in North West Province, he says the uncertainty is as troubling as the cost.
“It’s terribly expensive to buy fuel at the moment, but the question I need to answer right now is can I get fuel?” Mathews said.
Diesel prices have surged sharply as tensions in the Strait of Hormuz, a key global oil transit route, disrupt supply chains. In South Africa, prices have risen by more than 30 percent in recent weeks, with wholesale diesel expected to reach nearly 26 rand per litre.
READ: Iran says Strait of Hormuz “open but closed to enemies” as conflict intesifies
While authorities say national fuel stocks remain stable, farmers report supply constraints, hoarding, and panic buying. “It’s the uncertainty that keeps you awake,” said Johann Kotze, CEO of the agricultural group AgriSA.
The pressure is also being felt in Pakistan, where more than 85 percent of oil imports pass through the Strait of Hormuz. Farmers preparing for the spring harvest say the cost of running tractors and transporting goods is becoming unsustainable.
“The use of tractors and other agricultural machinery is unavoidable… and these largely run on diesel,” said farmer Aamer Hayat Bhandara.
Across regions, farmers say the crisis is not just about higher prices but about survival. With unreliable electricity in many countries, diesel-powered generators remain essential, further increasing dependence on fuel.
