UN Warns: Hormuz Closure Threatens Global Food Prices, Cost-of-Living

• UNCTAD warns of significant risks to global trade and development, including higher food prices and cost-of-living, if the Strait of Hormuz closes.
• The Strait, a critical maritime chokepoint, carries 25% of global seaborne oil; traffic dropped 97% since US-Israeli strikes on Iran began Feb 28.
• Closure would lead to increased energy, fertilizer, and transport costs, intensifying cost-of-living pressures, especially for vulnerable nations.
• Disruptions compromise energy supplies, particularly to Asia, which receives 84% of crude oil and 83% of LNG passing through the Strait.
• UNCTAD emphasizes de-escalation and safeguarding maritime transport to mitigate economic impacts and prevent new price shocks for developing economies.