Kuching agricultural shops face possible price hikes, supply disruptions amid Middle East conflict

KUCHING (March 26): Agricultural shop operators here are bracing for possible disruptions as the ongoing Middle East conflict raises concerns over higher fertiliser prices and tighter supplies of key farming inputs.

While the situation remains relatively stable for now, industry players say global supply chain uncertainties and shipping disruptions could soon push up costs.

A shop operator in Mile 3, Chai, said prices of most items have yet to rise significantly, although early increases are being seen in some products.

“We noticed prices of plastic-related products have gone up first, by about five to 10 per cent,” she told The Borneo Post, adding that fertiliser prices in Kuching have so far remained largely unchanged.

However, she said demand among farmers remains steady despite market uncertainties.

“Farmers will still need fertiliser. Even if prices increase, they may just buy less, but they won’t stop,” she said.

Chai added that customers tend to stick to preferred brands, as cheaper alternatives may not be as effective.

“Some customers prefer certain brands because they are more effective. Cheaper options may end up being a waste of money,” she said.

She also noted that suppliers are unable to provide firm price quotations amid ongoing uncertainty.

A separate agricultural shop operator at Mile 7 said fertiliser prices at their outlet have already increased by about RM10, with further hikes expected.

Prices of herbicides and pesticides have also risen, although the exact increases remain unclear.

She said shipment schedules have become increasingly unpredictable, with deliveries affected by container availability and rising shipping costs linked to the conflict.

“Due to the current situation, shipping is uncertain. No one dares to predict prices, and suppliers cannot guarantee quotations,” she said.

She added that restocking has become more difficult due to supply disruptions, with businesses largely waiting for clearer market signals.

“Right now, the main issue is limited stock and uncertain pricing. We can only wait and see,” she said.

Despite the challenges, she said demand remains stable as farmers continue to rely on essential inputs.

“Most of our customers are farmers; they will still buy what they need despite price changes,” she said.

Shop operators said it is difficult to estimate the scale of future price increases due to volatile global conditions, but warned that prolonged conflict could lead to more severe supply shortages and wider disruptions in the agricultural sector.