Business Africa
Tensions in the Middle East have sent shockwaves through global energy markets, pushing buyers to look elsewhere for supply.
Unlike crude from the middle east, a lot of African oil does not have to transit vulnerable corridors such as the Strait of Hormuz, where events like war can put a stop to shipping.
But years of constrained investment have meant that African producers cannot pump more and fast enough to cover gaps in global supply. For over a decade now, European lenders especially put the brakes on financing oil and gas projects in Africa citing climate concerns.
The decision hurt or severely delayed projects in Uganda, Mozambique, Angola, among other countries.
Carole Nakhle is an energy expert and CEO of Crystol Energy. She joins the show with insights on how Africa can attract investment and reshape global crude dynamics.
Agriculture braces for impact as Gulf crisis hurts fertilizer exports
The Gulf supplies nearly 35% of global urea exports and 20-30% of ammonia. Up to 30% of the global fertilizer trade moves through the strait of Hormuz, which is now effectively closed.
The corridor is also a key route for natural gas which is a crucial input for fertilizer production.
The impact has been immediate. Urea prices have since jumped 19% to over $590 a ton, and still climbing.
With Africa structurally dependent on imported fertilizer, the Gulf crisis poses a threat to food systems and food security.
Zimbabwe: Tobacco boom drives deforestation
Rising grower numbers, expanded acreage and improved quality control are driving Zimbabwe’s tobacco boom.
This year, the country expects to sell a record 400 million kilograms of the crop.
Tobacco’s success though has meant a loss for the environment. At least 60,000 hectares of forest are destroyed each year as farmers cut trees to cure their crop.
