COMMODITY
Govt issues second global tender for import of 70 lakh tonne of urea to boost domestic supplies
Jun-02-2026

Aparna S Sharma, additional secretary in the Fertiliser Ministry has said that the government issued a second global tender for the import of 70 lakh tonne of urea despite a sharp rise in global prices to boost domestic supplies for the kharif season.

She noted that the global price of urea has increased from $447 per tonne in February to $947 per tonne now. The country has secured 25 lakh tonne of urea and 50 lakh tonne of DAP from sources outside the Strait of Hormuz, with arrivals expected in June-July.

The domestic fertiliser production stood at 104.81 lakh tonne amid the West Asia crisis, while imports were 27.62 lakh tonne, taking total additions to availability to around 132.43 lakh tonne. Factoring in the El Nino outlook, the agriculture ministry has revised fertiliser demand estimates downward in consultation with state governments.

Urea demand for the kharif 2026-27 season is pegged at 194 lakh tonne, lower by 4 lakh tonne, while di-ammonium phosphate (DAP) demand has been cut by 6 lakh tonne to 60 lakh tonne. Kharif (summer) sowing has just begun in some parts of India, but it is still in the very early stages. Farmers have started preparing fields for early sowing (especially of short-duration crops like pulses, coarse cereals, and some cotton) in regions that have received pre-monsoon rains.

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