India boosts fertiliser imports, ensures stable kharif supply

India ramps fertiliser imports, absorbs costs, ensures stable supply despite global price surge challenges

Commodity Desk

MUMBAI

India plans to import 64 lakh tonnes (LT) of urea and 19 LT of other fertilisers for the kharif season, even as global prices have surged nearly 100% amid the West Asia crisis, officials said. Despite the spike, the government has stepped in to absorb higher import costs, ensuring farmers remain insulated from volatility.

  At an inter-ministerial briefing, Aparna S Sharma, Additional Secretary in the Department of Fertilisers, said retail prices of key fertilisers will remain unchanged. Urea continues to be sold at ₹266.50 per 45 kg bag, while Di Ammonium Phosphate is priced at ₹1,350 per 50 kg bag. “There has been no change in MRP,” she said, reaffirming policy stability. India’s fertiliser demand for the kharif season is estimated at around 390.54 LT (39 million tonnes).  Against this, nearly 190.21 LT is already available as opening stock—about 49% of total requirement, significantly higher than the typical 33% buffer.  

 Officials described this as a strong starting position for the season. Import activity is progressing steadily. Of the planned urea imports, 9.4 LT has already been received, while 13.07 LT has been secured through earlier tenders. 

An additional 25 LT is expected to arrive in May. Separately, the government has floated a fresh global tender for 2.5 million tonnes of urea to further strengthen supplies. Most shipments are routed through the Strait of Hormuz, a region impacted by ongoing geopolitical tensions.  However, officials expressed confidence in timely arrivals.  “We are very much sure that we will be getting the supplies on time,” Sharma said.

Domestic production, which dipped in March due to force majeure on gas supplies, has recovered sharply. Plant utilisation has improved from 60–65% to around 97% after the government facilitated higher-cost gas imports.  As a result, post-crisis urea production has reached 35.4 LT, indicating strong recovery.

To bolster availability, a global tender has also been floated for 19 LT of non-urea fertilisers, including DAP, TSP, and Ammonium Sulphate.  Further import decisions will depend on demand-supply assessments. Officials also addressed concerns around energy supplies. The petroleum ministry said there is no need for panic buying of fuel, despite isolated incidents being reported. 

Overall, robust inventories, proactive imports, and stable pricing policies are expected to ensure seamless fertiliser availability through the kharif season. 

—With inputs from PTI & Informist