Overview
- India’s fertiliser department, which briefed the press on Monday, said supplies exceed kharif needs, kept urea at Rs 266.5 per 45 kg and DAP at Rs 1,350 per 50 kg, and planned imports of 6.4 million tonnes of urea plus 1.9 million tonnes of other nutrients.
- Stockpiles stand at about 190 lakh tonnes against a 390.54 lakh tonne kharif requirement, with officials reporting no shortages and availability in April well above assessed demand across urea, DAP, potash and NPK blends.
- Import costs have jumped, with India Potash paying about $935–$959 per tonne for urea and suppliers agreeing to avoid the Strait of Hormuz, and analysts expect the fertiliser subsidy to rise roughly 20% in FY27 as the government holds retail prices steady.
- Officials said gas supply shocks cut urea plant runs in March before higher LNG deliveries lifted utilisation to about 97% and pushed post‑crisis urea output to 3.54 million tonnes, and fresh global tenders for DAP, TSP and ammonium sulphate were issued for peak demand.
- Global trade remains constrained as the conflict has stalled traffic through Hormuz, halted output at major Gulf sites and curbed sulphur and ammonia flows, and agronomists warn that reduced applications could cut yields 10–25% into 2026–27 with worst‑case losses higher in nutrient‑poor soils.