Since the outbreak of the conflict in the Middle East about a month ago, analysts have focused primarily on energy market data.

On March 2, Iran announced the closure of the Strait of Hormuz, a waterway responsible for transporting about one-fifth of global oil and gas supplies. Since then, oil prices have surged sharply.

Prices jumped to more than $110 per barrel, prompting the United States to launch an operation to reopen the strait by deploying aircraft and helicopters to the region.

However, while markets are closely watching oil prices and fearing fuel shortages, other commodities are stranded in the Gulf and could have painful repercussions.

Helium

It may come as a surprise to some that heliums uses extend far beyond party balloons, as it is a key element in semiconductor manufacturing, medical imaging, and space technologies.

Qatar produces about one-third of global helium supply, which passes through the strait, but it has been forced to halt production following the outbreak of the war, with warnings that strikes on energy infrastructure will further paralyze exports.

Helium transport is also complex, as it is stored in insulated containers for between 35 and 48 days in liquid form.

After that period, the molecules begin to warm and leak, meaning shipments stranded in the strait quickly lose their value, disrupting supply chains.

Helium is a vital component in semiconductor production, including chips used in artificial intelligence models, which could affect shares of major technology companies already facing concerns about a potential AI sector bubble.

Other uses

Helium is also used in MRI machines to cool magnets and in the space sector to clean rocket fuel tanks.

Demand is expected to rise in the space industry as more private companies enter the field, such as Elon Musks SpaceX and Jeff Bezoss Blue Origin.

Thomas Abraham-James, CEO of Pulsar Helium, said the current crisis presents two simultaneous challenges for the helium market.

He added that the closure of the Strait of Hormuz means that even if infrastructure remains intact, products cannot reach markets.

He explained that supply could begin to resume within weeks if tensions ease, but a return to normal production levels could take months, while restoring damaged capacity may take years.

Fertilizers

Fertilizer components that support nearly half of global food production also pass through the Strait of Hormuz.

Gulf countries account for about 49% of global urea trade, a nitrogen-rich fertilizer used in crops such as wheat.

Urea prices have risen more than 40% since the outbreak of the war, at a sensitive time coinciding with the spring planting season in the Northern Hemisphere, meaning the impact could reach consumers.

The impact is not limited to prices, as supply shortages could lead to lower agricultural output due to difficulty in obtaining fertilizers.

Ammonia prices have also risen by about 20%, another key fertilizer component, at a time when producing countries such as Qatar have been forced to halt production due to strikes and the closure of the strait.

Analysts believe that continued disruptions could increase pressure on agricultural markets and raise the risk of global food inflation.