As efforts to reopen the Strait of Hormuz continue without resolution, international pressure is intensifying for a viable framework to restore one of the world's most critical shipping chokepoints. The Strait carries roughly a fifth of global oil and liquefied natural gas supplies, making any prolonged disruption a direct threat to energy markets and the broader commodity trade.

John Denton, secretary general of the International Chamber of Commerce (ICC), believes the answer may lie in a proven model. Drawing on the ICC's experience helping broker the Black Sea Grain Initiative following Russia's 2022 invasion of Ukraine, the organization—which represents more than 170 countries—has helped develop a comparable neutral governance framework for the Gulf. The Black Sea Initiative, which operated from July 2022 until Russia's withdrawal in July 2023, facilitated the export of tens of millions of tonnes of agricultural products and demonstrated how neutral monitoring could sustain a conflict-affected trade route.

The proposed mechanism would establish a practical system for registering, monitoring, verifying, and reporting vessel transits through the Strait, with an initial operational focus on fertilizers and related raw materials. Fertilizer supply chains are particularly sensitive to disruption: the Strait handles a substantial share of the trade in ammonia, urea, and sulfur, key inputs for global agriculture.

"This is not the first time we've been involved in coming up with a mechanism which can reopen a trade route in the midst of conflict," Denton told Fortune.

"The logic behind that deal was an exchange of incentives; Ukraine gained the ability to move wheat and sunflower products, while Russia gained the ability to move fertiliser. Whereas, at the moment, what we're seeing with the Iran conflict is that the only way of exchanging incentives is escalation, which is not going to get us to a peaceful reopening of Hormuz. And that's where we think our neutral governance mechanism could prove decisive."

Under the current proposal, a dedicated task force would be led by Jorge Moreira da Silva, Executive Director of the United Nations Office for Project Services (UNOPS). The task force would also include representatives from the UN Conference on Trade and Development (UNCTAD) and the International Maritime Organization (IMO).

Once operational, a Joint Co-ordination Center (JCC) would facilitate secure shipping corridors, oversee the loading of fertilizer and related raw materials, verify and monitor participating vessels, and publish weekly activity reports.

The JCC would be headquartered in Salalah, on the coast of the Arabian Sea in southern Oman. Its members would convene daily to review incoming, verified vessel requests and assign deconflicted routes through the Strait for both inbound and outbound traffic.

"People have had a habit during this horrible dispute of announcing the strait is open, the strait is closed, or that there's a partial opening," Denton observed.

"But, ultimately, we actually have to ensure that the trade route functions. That means engaging the full economic ecosystem—shipowners, seafarers, insurers, port handlers, commodity traders, and financiers—all of whom need certainty before they'll move goods again."

"What we've strived to do in building this mechanism is to ensure that it will be acceptable and usable by that economic ecosystem. And that requires obviously deconfliction of the area. It requires then a commitment to the neutral governance of the area in terms of the ability to inspect, etc., but at scale and frequently, not once every two weeks."

Vessel inspections under the mechanism would not be compulsory, but member states could request a secondary inspection of any vessel based on specified criteria. These inspections would be carried out by Oman's Salalah Port Authority under the observation of UN monitors, with results shared among JCC members before a vessel is cleared to proceed.

Like its Black Sea predecessor, the proposed mechanism would be time-bound and would explicitly not "derogate from any freedom of navigation rights … under customary or conventional international law," Denton explained. Denton previously served as head of the Australian law firm Corrs Chambers Westgarth.

The mechanism does not specify a fixed duration; rather, it is envisioned as a neutrally administered bridging solution to remain in effect until parties agree on a more permanent arrangement.

Denton indicated that the mechanism could be deployed within weeks, if not sooner, but stressed that a functional trade corridor cannot simply be declared into existence. He acknowledged uncertainty over whether Iran would agree to the proposal, while noting that Iranian officials are aware of it.

For context, it took three years to negotiate the Malacca mechanism governing the straits of East Asia—an arrangement frequently cited as a reference point for Hormuz.

"This isn't something we can impose. Its implementation depends on the parties to the conflict reaching the view that it is a worthwhile initiative and agreeing to move ahead," Denton said.

The Hormuz situation is further complicated by the fact that, unlike the Black Sea Grain Initiative—which centered on a two-party dispute between Ukraine and Russia—the Strait of Hormuz involves multiple states with competing territorial claims and significant international legal complexities.

Article 5 of the U.S.-Iran Memorandum of Understanding was originally designed as a confidence-building measure to restore commercial shipping through the Strait of Hormuz. Instead, it has become the principal obstacle. Its ambiguous language has produced conflicting interpretations over control, competing shipping routes, and confusion regarding the 60-day fee waiver limit.

Iranian President Masoud Pezeshkian stated on Sunday that the MoU Iran signed with the U.S. in June would serve as the "cornerstone" of Tehran's future foreign relations.

Denton identified the MoU's legal ambiguity as a substantive vulnerability: "Article 5 is a challenge because the Iranians have clearly taken from Article 5 that they've been given the right to develop an administrative mechanism for the conduct of shipping through the Strait of Hormuz, a reading that the U.S. disputes."

Denton also voiced concern about the regional talks currently underway.

"If an agreement were to be signed between Iran and Oman, can it actually hold?" he asked.

"Aren't you going to need to have the U.S. involved with that as well? And then, if the U.S. is to be involved, then how do the parties have confidence because no one currently trusts anyone. The only institution they trust at the moment, to a level that makes things work, may well be the United Nations."