Dangote fertilizer gains from global supply squeeze amid Iran conflict

Dangote Fertiliser

Dangote Fertilizer Limited is witnessing rising global demand for its products as geopolitical tensions involving the United States, Israel, and Iran continue to disrupt fertilizer supply chains and unsettle commodity markets.

Vice President of Dangote Industries Limited, Devakumar Edwin, said buyers across several regions are increasingly turning to the Lagos-based facility to offset supply gaps created by the disruption to Iranian output.

Edwin, speaking on a call with Bloomberg on Monday, said demand has increased significantly as the global market adjusts to reduced supply.

“Demand has gone up substantially due to the shortage in the global market,” he said.

The conflict in Iran, since it began, has raised concerns over shipping activities in the Strait of Hormuz, a key route through which about one-third of global fertilizer supplies move.

The Lagos-based fertilizer plant is Africa’s largest producer of granulated urea and ammonia and has an annual production capacity of about three million tonnes.

Roughly 37 per cent of its output is exported to the United States.

Founder of the group and Africa’s richest man, Aliko Dangote, has previously expressed plans for the company to challenge Qatar for the position of the world’s leading urea exporter within the next four years.

Beyond Nigeria, the company is also expanding its footprint in Africa. In August 2025, Dangote signed a $2.5 billion agreement with the government of Ethiopia to build a fertilizer plant in the country’s Somali region.

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