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[BUSINESS] · India · 2 sources

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India’s fertilizer self‑reliance shields farmers from global price spikes

Under the Atmanirbhar Bharat programme, India has expanded domestic fertilizer capacity to buffer farmers against recent global market disruptions caused by the West Asia crisis. Six new mega‑urea plants added 76.2 lakh tonnes of annual capacity since 2014, and two more high‑capacity plants (25.4 lakh tonnes) are about to start. Domestic urea output rose from 225 lmt in 2014‑15 to a record 314.07 lmt in 2023‑24, with production holding steady at 306.67 lmt for 2024‑25. Stock levels for the Kharif 2026 season are approximately 200.98 lmt, well above the usual 33 % buffer. The government has also kept retail fertilizer prices subsidised despite international price hikes—45 kg urea bags remain at ₹266.5 compared with a global price over ₹4,100 per bag, and DAP bags at ₹1,350 versus a global price above ₹5,000. Additional measures include strategic imports, alternative shipping routes to avoid the Strait of Hormuz, and promotion of eco‑friendly organic manures.