India has strengthened fertiliser security ahead of the kharif season through higher inventories, robust domestic production and diversified global sourcing.
Four fertiliser cargoes have safely crossed the Strait of Hormuz, while stocks and sales have risen year on year.
Multi-country procurement and diplomatic coordination have enhanced supply resilience despite continuing global uncertainties.
Inventory position: Stronger than a year ago across almost every grade
India’s fertiliser inventory has strengthened significantly compared to last year, providing a solid foundation for the upcoming kharif season. Higher stock levels across most major fertiliser categories reflect effective procurement, improved supply planning, and timely imports despite global trade and shipping challenges.
- Total fertiliser inventory stood at 196.08 lakh metric tonnes as of June 22, 2026, compared to 168.67 lakh metric tonnes a year earlier.
- Overall fertiliser stocks increased by more than 27 lakh metric tonnes on a year-on-year basis.
- Urea inventory reached 81.44 lakh metric tonnes, up from 69.21 lakh metric tonnes, supported by higher domestic production and imports.
- DAP stocks increased to 20.92 lakh metric tonnes from 16.00 lakh metric tonnes, improving phosphate fertiliser availability.
- NPK inventory rose to 55.91 lakh metric tonnes, compared to 46.13 lakh metric tonnes in the previous year.
- MOP stocks improved to 12.68 lakh metric tonnes, up from 10.68 lakh metric tonnes.
- SSP inventory declined slightly to 25.13 lakh metric tonnes from 26.65 lakh metric tonnes, but the change remains limited.
- Growth across major fertiliser categories highlights stronger procurement and better inventory management.
The overall increase in fertiliser stocks indicates that India’s supply chain remains well prepared to meet seasonal demand. Higher inventories across key products are expected to support uninterrupted fertiliser availability, strengthen market stability, and ensure timely supplies for farmers during the kharif cropping season.
Demand running ahead of last year
Fertiliser sales increased strongly during the post-crisis period, showing healthy market demand.
- Total sales reached 153.4 lakh metric tonnes, up from 140.2 lakh metric tonnes in the previous year.
- Sales grew by 13.2 lakh metric tonnes on a year-on-year basis.
- Higher fertiliser purchases reflect active farmer preparation for the kharif cropping season.
- Urea remained the largest-selling fertiliser with 79.1 lakh metric tonnes of sales.
- NPK fertilisers recorded 34.8 lakh metric tonnes, indicating steady demand for balanced nutrients.
- DAP and triple super phosphate together reached 19.8 lakh metric tonnes in sales.
- Strong demand across all major fertiliser categories highlights broad-based market growth.
- Rising sales alongside healthy inventory levels indicate a balanced supply-demand environment.
- The combination of strong consumption and adequate stocks supports market stability and agricultural supply security.
Domestic production: The foundation beneath the import strategy
While the successful Strait of Hormuz transits and global procurement have attracted attention, it is important to recognise that India’s fertiliser security architecture rests first and foremost on its domestic manufacturing base. Post-crisis domestic production from March 1, 2026, through the current period has reached 133.12 lakh metric tonnes a strong output figure that has provided the core supply foundation upon which import volumes have been layered. Total import arrivals at Indian ports during the same window reached 43.69 lakh metric tonnes, bringing the combined domestic production and import total to a level that has been sufficient to both meet the accelerated sales demand and build inventory above last year’s levels.
This balance between homegrown output and targeted international sourcing reflects a deliberate policy choice rather than relying excessively on either domestic production or imports alone, India has pursued a dual-track approach that reduces vulnerability to disruption in either channel. When global shipping faced the Strait of Hormuz blockade, domestic production provided continuity. When domestic capacity constraints limited the pace of supply growth, imports filled the gap. The result is a supply system with genuine redundancy built into its structure.
Global tender success: 90 lakh metric tonnes secured for kharif
On the procurement side, India has demonstrated impressive execution in the global fertiliser market despite operating in one of the most supply-constrained environments in recent years. The latest global tender evaluation has resulted in the successful contracting of 17.70 lakh metric tonnes of Urea, bringing the total urea and phosphate and potash fertiliser volume secured from international markets for the kharif season to over 90 lakh metric tonnes. This is a substantial contracted position that provides a high degree of forward supply visibility at a time when global fertiliser markets have been characterised by uncertainty, price volatility, and constrained availability.
Urea has been locked in from eleven different countries spanning multiple continents Oman, Malaysia, Vietnam, Georgia, Nigeria, Russia, Finland, Egypt, Algeria, Turkey, and the Netherlands.
DAP and NPK supplies have been secured via the Red Sea shipping route from eight origins including Russia, Morocco, Egypt, the United States, Jordan, South Korea, Tunisia, and Saudi Arabia.
This level of supply source diversification is a deliberate risk management strategy; by spreading procurement across a wide range of origins and shipping routes, India reduces its dependence on any single corridor or supplier, making the overall supply chain far more resilient to the kind of geopolitical disruption that the Strait of Hormuz blockade represented.
The success of this multi-origin procurement strategy did not happen by accident. It was enabled by active diplomatic coordination involving 28 Indian missions stationed across the globe, which worked to open and maintain import pipelines through multiple international corridors simultaneously. This diplomatic engagement in support of agricultural supply security is a recognition that fertiliser procurement at the scale required by a nation of India’s agricultural size and population cannot be left entirely to commercial market mechanisms particularly during periods of geopolitical stress when supply corridors are disrupted and competition for available cargoes intensifies among importing nations.
Outlook: Kharif season well supported, vigilance remains essential
The overall picture entering the core kharif season is one of genuine supply comfort underpinned by strong procurement execution, healthy domestic production, accelerating sales, and improving inventory positions across every major fertiliser grade. The successful Strait of Hormuz transits represent a particularly positive development confirming that supply flows through the Gulf are becoming more reliable as the US-Iran ceasefire framework takes hold and commercial shipping gradually resumes normal operations. However, vigilance remains essential. The ceasefire is currently a framework with unresolved elements, shipping insurance costs through the Gulf remain elevated, and the global fertiliser market continues to be shaped by supply constraints and price pressures that could shift quickly. India’s fertiliser security managers will need to maintain the same procurement discipline and diplomatic engagement that has produced the current comfortable position to ensure that the kharif season concludes without supply stress reaching the farm level.
ALCHEMPro News Desk (VK)
