Global fertiliser markets have entered one of their most volatile periods in recent years. Conflict in the Middle East has disrupted shipping through the Strait of Hormuz, a critical maritime corridor through which approximately 30% of global fertiliser trade passes. The consequences for farmers in many regions have been significant, and in South Africa, it is no different.
Since the beginning of 2025, the World Bank’s fertiliser price index has risen by 15%. Between February and March 2026 alone, urea fertiliser prices surged by nearly 46% month on month as the Middle East conflict intensified and supply chains stalled. For South Africa, the exposure is particularly severe. The country imports roughly 80% of its fertilisers from the Middle East, meaning disruptions in global supply translate directly into higher input costs for local farmers.
Small-scale and emerging farmers, who already operate with limited financial buffers, are the most exposed. As input costs climb, margins shrink, and planting decisions become increasingly difficult. The ability to sustain yields, let alone improve soil health, is compromised when essential nutrients become unaffordable.
A structural vulnerability with a local solution.
South Africa generates approximately 10 million tonnes of food waste annually, the majority of which ends up in landfill. This represents a significant and largely untapped source of soil nutrients. When processed correctly, organic waste becomes high-grade compost, a soil amendment product that can reduce the need for fertilisers and improve long-term soil health.
Research indicates that for every 1% increase in soil organic matter, soil can retain approximately 160,000 to 170,000 additional litres of water per hectare. In water-scarce and drought-prone regions, this improvement reduces irrigation requirements and increases the resilience of smallholder production systems.
Connecting large-scale waste producers to small-scale farmers
Large-scale organic waste producers, including food manufacturers, hospitality groups, retail centres and fresh produce markets, are well-positioned to create a local compost value chain. By installing on-site composting systems like BiobiN, these organisations can divert organic waste from landfill and produce a consistent, high-quality compost output. That compost can then be directed towards smallholder and community farming operations that currently rely on fertilisers they can no longer readily afford.
The BiobiN in-vessel composting system enables this at a large scale. Organic waste is processed within an enclosed, aerobic environment, converting food and plant material into stable compost without odour, pest attraction or leachate.
A local compost value chain will not replace the global fertiliser system. What it does is create a more resilient alternative input supply that is not subject to geopolitical disruption, shipping constraints or currency volatility. In the current environment, local resilience carries real and growing value.
Image: Kashif Shah