Algeria has reportedly instructed domestic fertiliser producers to suspend exports of urea to France, escalating trade tensions between the two countries following French President Emmanuel Macron’s support for Morocco’s position on Western Sahara.
The reported directive threatens a trade relationship worth approximately $219 million annually and could create additional challenges for French agricultural suppliers preparing for the next planting season.
According to diplomatic and industry sources, the move forms part of worsening economic relations between Algiers and Paris. However, neither the Algerian government nor the affected producers had publicly confirmed the reported restriction as of October 23, 2026.
Algeria’s Fertiliser Exports Face Uncertainty
Trade figures show that France imported approximately 481,000 tonnes of urea from Algeria in 2025, valued at about $218.9 million. This made Algeria one of France’s leading suppliers of the nitrogen-based fertiliser, accounting for roughly a quarter of its imports.
Urea is widely used in agriculture because it supplies nitrogen needed for crop growth. Any prolonged interruption in supplies could force French importers to seek alternative sources, potentially increasing procurement costs and putting pressure on farmers.
Egypt, the Netherlands, Germany and other international producers could help replace some of the affected supplies. However, shipping expenses, market prices and delivery schedules could complicate the process.
Western Sahara Dispute Fuels Trade Tensions
Relations between Algeria and France deteriorated in 2024 after Macron backed a proposal for Western Sahara to have autonomy under Moroccan sovereignty.
Algeria opposes Morocco’s position on the disputed territory and supports the Polisario Front, which seeks its independence.
The disagreement has strained diplomatic relations and contributed to a series of trade restrictions. Algeria reportedly introduced broad, unofficial restrictions on French imports in late July 2026, according to diplomatic sources.
The reported suspension of urea exports would represent a further escalation, potentially affecting Algerian businesses that depend on the French market.
French Farmers Could Face Higher Costs
A disruption to Algerian supplies could increase pressure on French fertiliser buyers, particularly as agricultural businesses prepare for the next growing season.
France may turn to Egypt and other European or international suppliers to fill the gap. Nevertheless, the availability of replacement supplies and the cost of securing them will determine the extent of any impact on farmers.
Higher fertiliser costs could add to existing pressures on agricultural production, especially if energy prices and international shipping expenses remain elevated.
Algerian Producers May Need Alternative Markets
The reported restrictions could also affect Algeria’s fertiliser industry by forcing producers to redirect shipments originally intended for France.
Potential alternative destinations include Brazil, the United States, Canada and other European markets. However, redirecting exports may involve additional transportation costs and less favourable prices.
The eventual impact on both countries will depend on whether the reported suspension is formally confirmed, how long it lasts and whether diplomatic efforts produce an improvement in relations.
The development highlights how political disagreements over Western Sahara are increasingly affecting trade and industrial supply chains between Algeria and France.
