India boosts fertilizer self reliance with Saudi, Morocco pacts amid global supply chain disruptions

The Union government has assured that fertilizer availability remains steady across the country during the ongoing Kharif 2025 season, despite global disruptions stemming from the Red Sea crisis, the Russia-Ukraine war, and tensions in the Middle East.

According to the Ministry of Chemicals & Fertilizers, domestic urea production has climbed 35% in a decade — from 227.15 LMT in 2013-14 to 306.67 LMT in 2024-25. Production of DAP and NPK fertilizers also rose by 44% during this period, bolstering self-reliance under the government’s Atmanirbharta agenda.

Timely diplomacy and long-term deals have secured critical imports. In July 2025, Indian firms signed a five-year pact with Saudi Arabia for 31 LMT of DAP annually starting 2025-26. Another 25 LMT of DAP and TSP has been secured from Morocco.

Despite rising prices and longer shipping routes, supply has outpaced demand. Urea availability stands at 183 LMT versus a pro-rata need of 143 LMT, with sales touching 155 LMT. DAP availability is 49 LMT against a 45 LMT requirement, and NPKs are at 97 LMT versus 58 LMT.

To protect farmers from global price shocks, the government continues heavy subsidies. Urea is sold at ₹242 per 45-kg bag, while DAP is priced at ₹1,350 under a subsidy scheme covering import costs, GST, and price hikes.

Crackdowns on black marketing have also intensified. Since April 2025, nearly 2 lakh inspections have led to over 7,900 show-cause notices, 3,600 license actions, and 311 FIRs under the Essential Commodities Act.

The Ministry reaffirmed its commitment to timely, affordable, and equitable fertilizer access — underscoring its focus on farmer welfare, agricultural sustainability, and food security.