(Bloomberg) — The United Nations has created a task force to address humanitarian challenges arising from the effective closure of the Strait of Hormuz as a result of the US and Israeli war against Iran.
The mechanism aims to facilitate fertilizer trade, including the movement of raw materials, according to the UN.
UN Secretary-General António Guterres established a dedicated group to “propose technical mechanisms specifically designed to meet humanitarian needs” after tanker traffic in the waterway was halted amid threats of Iranian retaliation.
“As the conflict in the Middle East unfolds and threatens to intensify, disruptions in maritime trade through the Strait of Hormuz risk creating ripple effects impacting humanitarian needs and agricultural production in the coming months,” Stéphane Dujarric, the UN chief’s spokesman, said in a statement.
“While the Secretary-General is committed to making every effort to achieve a comprehensive and durable settlement of the conflict, immediate action is essential to mitigate these consequences.”
The strait, which carries about one-fifth of the world’s oil and liquefied natural gas, and its effective closure since the US and Israel started the war on Feb. 28, has caused energy prices to soar.
The UN has already warned that the disruption is also affecting flows of food and fertilizer, while higher transport costs, freight rates and insurance premiums are adding pressure on poorer countries across Africa and Asia.
The new Hormuz task force will be led by senior UN official Jorge Moreira da Silva and will be “drawing inspiration” from other UN projects, including the Black Sea Grain Initiative designed to increase Ukrainian agricultural shipments following Russia’s full-scale invasion.
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