Former World Bank president David Malpass has called on China to cease hoarding food and fertiliser as global supply chains face severe disruption from the US-Israeli war on Iran. Speaking to the BBC, Malpass highlighted that China holds the world's largest stockpiles of foodstuffs and fertiliser.
China's Fertiliser Export Restrictions
China, one of the world's largest fertiliser exporters, shipped $13bn worth in the past year. However, after US-Israeli strikes on Iran and Lebanon forced Tehran to close the Strait of Hormuz—a critical maritime route carrying a fifth of global oil and gas, plus substantial fertiliser—Beijing restricted fertiliser exports to protect its domestic market. This move has intensified strain on global markets already facing shortages, sending commodity prices soaring.
In mid-March, Beijing banned exports of nitrogen-potassium fertiliser blends and certain phosphate varieties, according to Reuters sources.
Malpass Criticises China's Developing Country Status
Malpass, who served as US treasury undersecretary during Donald Trump's first term, argued that China's claim to developing nation status is no longer credible. “They present themselves as a developing country when they are the second biggest economy in the world and in many ways rich,” he said on the eve of Trump's visit to China. He added that China could suspend its developing country status at the WTO and World Bank.
Chinese officials rejected these comments. Liu Pengyu, spokesperson for the Chinese embassy in Washington, stated: “China is committed to maintaining the stability of global food and fertiliser markets.” He argued that Beijing should not be blamed for supply-chain disruptions, saying the root causes are “crystal clear” and cannot be shifted onto China. On the developing country issue, Liu said: “China is universally recognised as the largest developing country, a designation grounded in ample factual evidence. Upholding its status as a developing country is a legitimate right of China.”
