Food security has headlined the start of the 2026 NSW Farmers Conference with farmer delegates voting to push for Government and industry policies that strengthen Australia’s domestic fuel and fertiliser production capacity.
Restricted supplies of the two essential ingredients for local food and fibre production this year delivered an economic shockwave to farmers across NSW that rivaled the impact of the state’s worst natural disasters.
Urea prices surged by more than 90 per cent following the Strait of Hormuz closure in February and the absence of Australian-made fertilisers forced grain and vegetable growers to reduce winter plantings.
NSW Farmers President Xavier Martin said the Middle East conflict has exposed Australia’s vulnerability to fuel and fertiliser supplies.
“Australian agriculture almost completely relies on imported fuel and fertiliser, leaving producers exposed to global supply disruptions and price volatility,” Mr Martin said.
“These pressures flow directly to farm input costs, freight, and overall profitability, compounded by Australia’s limited domestic refining capacity and reliance on imported fertiliser.”
“We need strategic investment to build greater domestic capacity to make a stronger farming future.”
“Strengthening domestic fuel and fertiliser production would improve supply security, reduce exposure to global shocks, and support more stable and affordable food supply.”
Farmers heard from fuel and fertiliser industry experts at a pre-conference forum on food, fuel and fertiliser security, who highlighted the need for investment in storage infrastructure to build self-sufficiency.
NSW Farmers has already proposed time-limited tax relief to directly reduce extraordinary cost pressures and support investment in on-farm storage and efficiency. NSW Farmers have also urged the Commonwealth to increase and expand the instant asset write-off settings beyond June 2026 to support storage investment and adoption of fuel and fertiliser efficiency technology.
Media Release: NSW Farmers
