In a recent unpublished Echo letter, it was suggested that supply chain disruptions during the current fuel crisis could be at least twice as severe, and last for at least twice as long as disruptions during the pandemic. In fact such a suggestion could be an understatement.
In addition to the fertiliser and food issues, half of the world’s sulphur supply passes through the Straits of Hormuz and sulphur is used to make sulfuric acid, without which you can’t make: car tyres, truck tyres, nylon, many pharmaceuticals, detergents, copper, nickel, stainless steel, rare earths, paper, cardboard, superphosphate fertiliser, gypsum and lead acid batteries, or do wastewater treatment or refine crude oil to produce petrol.
The media comments that the Australian government just locked in 300 million litres of new diesel shipments: but that’s actually just a few days’ supply.
Australia has a small supply in reserve and when it runs out, our economy will come to a grinding halt.
If the war is still going on the 1st of June, it will result in a depression worse than 1929. Regardless of what they say, the fire at the Victorian oil refinery was no accident.


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