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Urea Shortage Wreaking Havoc in Australia

Urea Shortage Wreaking Havoc in Australia


Urea Shortage Wreaking Havoc in Australia

Article by: Hari Yellina (Orchard Tech)

According to the latest reports, Australia is headed for major trouble! Thousands of vehicles may be pulled off the road and grocery prices may increase exponentially, therefore impacting almost every citizen in the nation. This disaster is mainly because of the urea shortage that the country is facing. Hence, the transport industry will be negatively impacted in a major way. However, as the actual picture gets clearer, it seems that industries such as agriculture, healthcare, trading and power generation will also be deeply affected.

What is the Urea Shortage Crisis?

Currently, the world is facing a major urea shortage, a crucial ingredient that is present in diesel and fertiliser. The main reason for this crisis is China’s decision to ban the export of this product in order to lower fertiliser prices domestically. South Korea was the first to be affected by this ban, and now it seems Australia is following suit. The urea shortage is such a significant problem because AdBlue is injected into the exhaust systems of modern diesel vehicles in order to reduce emissions, which is a mandatory requirement for trucks, private vehicles and tractors.

Effects of the Crisis

According to Hari Yellina, of Orchard Tech, it seems that every Australian will be deeply impacted by this shortage. It is forecasted that the nation will run out of urea by February. In addition to the shortage of everyday groceries, the pharmaceutical industry is also likely to crumble under this crisis. Another impact of the urea shortage could be power generation, especially in South Australia, where a lot of backup generators used in hospitals and other facilities use urea, while countless tradies could also have their vehicles barred from the road, causing construction backlogs.

The Effect on Agriculture

According to the experts in the agricultural industry, a shortage of urea will cause tractors to go offroad. Hence, there will be no tractors to produce or deliver consumables. Moreover, the shortage is also leading to an increase in fertiliser prices. The prices have been climbing for some time but began to increase in mid-2021 before soaring in September.


Even though this news is sending shockwaves across the country, the government is aware of the issue and is actively taking steps to combat it. They are monitoring the situation to the best of their ability, and a solution for the urea shortage will be drafted soon.