India’s fertilizer requirement rises 4%; supplies remain stable, says Centre

Ziraat Times

21 July 2026

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Ziraat Times Team Report

New Delhi, July 21: As India prepares to meet the growing demands of its agricultural sector, the government is relying on a combination of advance planning, domestic production and international supply partnerships to ensure that fertilizers remain available to farmers across the country.

With fertilizer requirements continuing to rise, authorities say a coordinated approach involving state governments, domestic manufacturers and global suppliers has helped maintain adequate stocks while insulating the country from disruptions in international markets.

The details were shared by the government in Parliament on Monday, outlining how India is managing one of the most critical inputs for agricultural production.

Rising demand, stable supplies

The Department of Agriculture and Farmers Welfare, in consultation with state governments, assesses fertilizer requirements ahead of every cropping season. Based on these estimates, the Department of Fertilizers plans domestic production, imports and distribution to ensure timely availability.

For 2025-26, India’s total fertilizer requirement was assessed at 677.18 lakh metric tonnes (LMT), compared with 649.43 LMT in 2024-25, representing an increase of about four per cent.

The government clarified that reports suggesting a 41 per cent increase in fertilizer demand were inaccurate.

Despite the rise in requirements, officials say supplies have remained adequate through a combination of local production and strategic imports.

A global supply network

Recognising the volatility of international fertilizer markets, India has strengthened long-term supply arrangements with major fertilizer-producing countries.

During 2025-26, Indian fertilizer companies signed agreements for:

31 LMT of Diammonium Phosphate (DAP) from Saudi Arabia;
2.5 LMT of Muriate of Potash (MOP) from Jordan;
25 LMT of DAP and Triple Super Phosphate (TSP) from Morocco; and
30.10 LMT of DAP and NPK fertilizers from Russia.

Officials say these agreements have strengthened supply security and reduced the risk of shortages arising from geopolitical tensions, trade disruptions or fluctuations in global fertilizer markets.

The strategy reflects India’s growing emphasis on diversifying import sources while maintaining stable supplies for farmers.

Kharif season consumption trends

Data released by the government shows that fertilizer consumption during the ongoing Kharif 2026 season has remained broadly in line with previous years.

Between April 1 and July 14, 2026, consumption of major fertilizers—including urea, DAP, MOP and NPK fertilizers—stood at 151.74 LMT, compared with 157.05 LMT during the corresponding period of Kharif 2025.

Urea continued to account for the largest share of fertilizer use, reflecting its central role in Indian agriculture.

During the same period, fertilizer availability significantly exceeded consumption, suggesting comfortable stock positions and efficient distribution across states.

Balancing domestic production and imports

India remains one of the world’s largest fertilizer consumers and has steadily expanded domestic production capacity. However, the country continues to rely on imports for key nutrients, particularly phosphatic and potassic fertilizers.

The government’s approach seeks to balance domestic manufacturing with strategic imports to ensure uninterrupted availability during peak sowing seasons.

According to official data, fertilizer availability exceeded assessed demand across major fertilizer categories during recent years, helping maintain market stability and prevent supply disruptions.

Fertilizer security and food production

Fertilizers play a critical role in sustaining crop yields and supporting India’s food security objectives. Any disruption in supply can have significant implications for agricultural productivity, farm incomes and food prices.

Agricultural experts note that with climate variability increasing and pressure on food production intensifying, ensuring timely fertilizer availability has become a key component of national agricultural planning.

The government’s emphasis on advance demand assessment, coordinated distribution and international sourcing is aimed at ensuring that farmers have access to essential nutrients when they need them most.

Preparing for future challenges

While fertilizer demand is expected to continue rising alongside agricultural production needs, policymakers are increasingly focused on building resilient supply chains capable of withstanding global uncertainties.

Long-term import agreements, improved logistics and better coordination between central and state agencies are emerging as important tools in that effort.

As India seeks to strengthen food security and support agricultural growth, the fertilizer sector remains a crucial link between policy planning and farm productivity. Ensuring adequate supplies, officials say, will continue to be a priority as the country navigates changing climatic conditions, evolving cropping patterns and growing demand for food.

The government maintains that its current strategy of advance planning, domestic production and diversified international partnerships has helped keep fertilizer supplies stable despite increasing demand and fluctuations in global markets.

12 COMMENTS

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Ziraat Times Team Report

New Delhi, July 21: As India prepares to meet the growing demands of its agricultural sector, the government is relying on a combination of advance planning, domestic production and international supply partnerships to ensure that fertilizers remain available to farmers across the country.

With fertilizer requirements continuing to rise, authorities say a coordinated approach involving state governments, domestic manufacturers and global suppliers has helped maintain adequate stocks while insulating the country from disruptions in international markets.

The details were shared by the government in Parliament on Monday, outlining how India is managing one of the most critical inputs for agricultural production.

Rising demand, stable supplies

The Department of Agriculture and Farmers Welfare, in consultation with state governments, assesses fertilizer requirements ahead of every cropping season. Based on these estimates, the Department of Fertilizers plans domestic production, imports and distribution to ensure timely availability.

For 2025-26, India’s total fertilizer requirement was assessed at 677.18 lakh metric tonnes (LMT), compared with 649.43 LMT in 2024-25, representing an increase of about four per cent.

The government clarified that reports suggesting a 41 per cent increase in fertilizer demand were inaccurate.

Despite the rise in requirements, officials say supplies have remained adequate through a combination of local production and strategic imports.

A global supply network

Recognising the volatility of international fertilizer markets, India has strengthened long-term supply arrangements with major fertilizer-producing countries.

During 2025-26, Indian fertilizer companies signed agreements for:

31 LMT of Diammonium Phosphate (DAP) from Saudi Arabia;

2.5 LMT of Muriate of Potash (MOP) from Jordan;

25 LMT of DAP and Triple Super Phosphate (TSP) from Morocco; and

30.10 LMT of DAP and NPK fertilizers from Russia.

Officials say these agreements have strengthened supply security and reduced the risk of shortages arising from geopolitical tensions, trade disruptions or fluctuations in global fertilizer markets.

The strategy reflects India’s growing emphasis on diversifying import sources while maintaining stable supplies for farmers.

Kharif season consumption trends

Data released by the government shows that fertilizer consumption during the ongoing Kharif 2026 season has remained broadly in line with previous years.

Between April 1 and July 14, 2026, consumption of major fertilizers—including urea, DAP, MOP and NPK fertilizers—stood at 151.74 LMT, compared with 157.05 LMT during the corresponding period of Kharif 2025.

Urea continued to account for the largest share of fertilizer use, reflecting its central role in Indian agriculture.

During the same period, fertilizer availability significantly exceeded consumption, suggesting comfortable stock positions and efficient distribution across states.

Balancing domestic production and imports

India remains one of the world’s largest fertilizer consumers and has steadily expanded domestic production capacity. However, the country continues to rely on imports for key nutrients, particularly phosphatic and potassic fertilizers.

The government’s approach seeks to balance domestic manufacturing with strategic imports to ensure uninterrupted availability during peak sowing seasons.

According to official data, fertilizer availability exceeded assessed demand across major fertilizer categories during recent years, helping maintain market stability and prevent supply disruptions.

Fertilizer security and food production

Fertilizers play a critical role in sustaining crop yields and supporting India’s food security objectives. Any disruption in supply can have significant implications for agricultural productivity, farm incomes and food prices.

Agricultural experts note that with climate variability increasing and pressure on food production intensifying, ensuring timely fertilizer availability has become a key component of national agricultural planning.

The government’s emphasis on advance demand assessment, coordinated distribution and international sourcing is aimed at ensuring that farmers have access to essential nutrients when they need them most.

Preparing for future challenges

While fertilizer demand is expected to continue rising alongside agricultural production needs, policymakers are increasingly focused on building resilient supply chains capable of withstanding global uncertainties.

Long-term import agreements, improved logistics and better coordination between central and state agencies are emerging as important tools in that effort.

The government maintains that its current strategy of advance planning, domestic production and diversified international partnerships has helped keep fertilizer supplies stable despite increasing demand and fluctuations in global markets.

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