B.C. task force to respond to ‘price shocks,’ supply chain disruptions amid Iran war

British Columbia’s premier announced a task force Monday to respond to the economic impacts of the ongoing war in Iran, citing “price shocks” and looming supply chain disruptions.

David Eby said the internal government task force will begin meeting this week.

“We know that there are many, many people out there who in this war have faced significantly worse than what we face here at home,” he said at a news conference.

“But here in British Columbia, the impacts are showing up as well.”

Health care, agriculture, energy and transportation are among the industries that will likely be affected in the coming weeks, the premier said.

Economic Growth Minister Ravi Kahlon said taking action locally has become necessary after a “glimmer of hope” for a resolution was all-but extinguished.

Ceasefire talks between the U.S. and Iran over the weekend ended without an agreement and the U.S. military announced it will begin a blockade of all Iranian ports and coastal areas on Monday.

Iran has responded with threats against ports in the Persian Gulf and the Gulf of Oman.

The war, now in its seventh week, has killed thousands of people and shaken global markets.

Kahlon said the impact on fuel supply and prices has already been felt and is well-understood, given that 20 per cent of the world’s crude is transported through the Strait of Hormuz. However, the transport of significant supplies of helium, aluminum and fertilizer is also expected to be interrupted.

“All of these things are starting to have a real impact on everything from food to basic medicine that we require in our communities,” Kahlon said.

“We’re getting to the point where we are going to need to start step up and take some action.”

Eby said he also intends to ask prime Minister Mark Carney to convene a meeting of premiers as soon as possible.

With files from The Associated Press