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India Assures Adequate Fertilizer Stocks Despite Global Supply Strains

The government states India has adequate fertilizer stocks of about 180 lakh metric tonnes, higher than last year, despite the West Asia crisis impacting global supply and prices. Officials acknowledge domestic urea production has been hit and that increased freight costs are a challenge. To ensure long-term stability, Indian companies have signed five-year agreements with Saudi Arabia's Maaden for annual phosphatic fertilizer supply starting 2025-26. The government is also diversifying sourcing to multiple countries and reports sufficient fuel inventories, including petrol, diesel, and LPG.

Key Points: India Has Adequate Fertilizer Stocks, Govt Says Amid Crisis

  • Adequate 180 LMT fertilizer stock
  • Global market affected, prices up
  • Long-term deals with Saudi Arabia signed
  • Diversifying sourcing from multiple countries
2 min read

Adequate fertiliser stocks despite West Asia crisis, supply strains: Govt

Government assures 180 LMT fertilizer stock, addresses supply strains from West Asia crisis and outlines long-term import agreements.

"As of today, we have an adequate stock position. - Aparna Sharma"

New Delhi, March 30

The government on Monday said that there is an adequate stock of fertilisers at about 180 lakh metric tonnes, compared with 147 LMT a year ago, despite the escalating West Asia crisis and supply issues.

Additional Secretary, Department of Fertilisers, Aparna Sharma, however, said that domestic urea output has taken a hit.

"As of today, we have an adequate stock position. Urea and Diammonium phosphate (DAP) are made available to farmers at regulated prices," she said at an inter-ministerial briefing, adding that supplies remain under control.

"The global fertiliser market has been affected, and prices have increased due to the prevailing geopolitical situation. Our freight costs have also increased," Sharma added.

India is dependent on imports of urea and phosphatic fertilisers to meet the demand of the agriculture sector. To ensure a stable and assured supply in view of this dependency, the Department of Fertilisers has facilitated the signing of long-term agreements between Indian companies KRIBHCO, IPL and CIL with Saudi Arabia's Maaden for the supply of 31 lakh metric tonnes (LMT) of DAP and NPK annually to India over a five-year period from 2025-26 to 2029-30.

Sharma further informed that April and May are generally lean months used for inventory build-up, adding that supplies had already been arranged in advance. "We are diversifying our sourcing bases and procuring supplies from Russia, Morocco, Australia, Algeria, Egypt, Indonesia, Malaysia, Canada, etc," she added.

Meanwhile, Joint Secretary, Marketing and Oil Refinery, in the Petroleum Ministry, Sujata Sharma, said during the regular briefing that inventories are sufficient across products and the country has adequate stocks of petrol, diesel, LPG and LNG.

"Crude inventories are adequate," she said. The ministries have backed the expansion of piped natural gas (PNG) infrastructure, while relief measures have also been rolled out for vulnerable groups.

Around 1.04 crore LPG booking requests came in the last two days, and 92 lakh deliveries were completed.

Enforcement action has also intensified, with 2,500 raids and 2,000 cylinders seized on Sunday, Sharma said.

- IANS

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Reader Comments

S
Sarah B
Good to see proactive planning and diversification of sources. The global situation is volatile, so having agreements in place for the next five years shows foresight. The numbers on LPG deliveries are impressive too.
A
Arjun K
Adequate stock is one thing, but the article says domestic urea output has taken a hit. That's concerning in the long run. We need to focus more on 'Atmanirbhar Bharat' in fertiliser production and reduce import dependency. The raids on cylinders are necessary, but why is hoarding still happening?
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Priya S
My father is a farmer in Punjab. He says the price at the local co-operative society has already gone up a bit last week. The government says regulated price, but the reality can be different. Hope the monitoring is strict. The stock data is reassuring though.
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Vikram M
Diversifying sourcing from Russia, Morocco, Australia etc. is a very good strategy. Can't rely on one region with the West Asia crisis. The key now is logistics and keeping freight costs in check. Jai Kisan!
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Kavya N
It's a comprehensive update covering fertilisers, fuel, and LPG. The 92 lakh LPG deliveries in two days is a massive operation. Kudos to the teams on the ground. Hope the vulnerable groups are getting the promised relief smoothly.

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