Peru’s agricultural sector faces a dual shock from global supply chain pressures and intensifying climate risks.
The Middle East conflict has driven up the cost of essential inputs, specifically fuels and fertilizers, while a developing El Niño weather pattern threatens to disrupt production and logistics further into 2026.
The Instituto Peruano de Economía (IPE) warns that the magnitude of these climatic phenomena, combined with persistent geopolitical tensions, will significantly impact the final cost of agricultural imports.
The institute highlights that global supply and demand dynamics for these critical inputs remain volatile, adding uncertainty to Peru’s trade balance.
This development follows earlier warnings from Peru’s Multisectoral Commission for the National Study of the El Niño Phenomenon (Enfen), which forecast a moderate to strong El Niño event for the 2026-2027 summer season.
Investors have begun positioning in commodity markets as scientific monitoring of the Pacific Ocean intensifies, signaling growing concern over the potential for supply disruptions.