A barrel of Brent crude, the global oil benchmark, dropped below $83(€71.50) a barrel on Monday 15 June, following the announcement of the end of hostilities between the US and Iran.

European natural gas prices were also lower, trading close to €43 per MWh. At least one liquid natural gas successfully negotiated the Strait of Hormuz in the hours following the announcement of the peace agreement.

The deal is scheduled to be signed on Friday 19 June in Switzerland.

For Irish farmers, the deal will come as a relief, presuming it leads to a long-term cessation of hostilities, as it takes the risk of further price rises in key energy and fertiliser costs off the table.

However, it will have to be seen whether the prices of those key inputs will return to the pre-conflict levels or whether some of the price increase seen in the last three months will remain in the cost. The end of the conflict also means that the cuts in excise duty on fuels are now more likely not the be extended when the current period ends on 31 July.