Adequate fertilizer stocks available to meet upcoming kharif demand: FAI

10 Mar 2026 Evaluate

The Fertiliser Association of India (FAI) has assured that there are adequate stockpiles of fertiliser in the country to meet the demands of the upcoming kharif season. The country’s total fertiliser reserves stood at 177.31 lakh tonnes as of March 6, 2026, up 36.5% from 129.85 lakh tonnes a year earlier. Despite the adequate inventory, FAI has pointed out that a 40% curtailment in gas supply and ongoing geopolitical tensions in West Asia have raised concerns over domestic urea production and the cost of imports. India faces up to 40% cuts in LNG supply to urea producers due to Qatar's production pause amid the conflict. The stocks of urea, the most consumed fertiliser and one heavily dependent on natural gas as feedstock, stood at 59.30 lakh tonnes as of March 6, 2026. Diammonium phosphate (DAP) inventories were at 25.13 lakh tonnes, while NPKS fertiliser reserves reached 55.87 lakh tonnes during the same period.

FAI Director General Chaudhari Suresh Kumar said that industry expects the government to prioritise gas allocation to the fertiliser sector. To ensure consistent supply, he added that the fertiliser companies are already adapting with the situation and they are shutting down one plant while keeping others running to manage operations within the constraints of reduced gas availability. Further, he said the companies have agreed to preponement scheduled plant shutdowns to March so that firms can utilise the period of global disruption without affecting peak-season output. Normally, the summer months of March to May are used for routine maintenance, energy efficiency work and repairs due to flat demand.

Moreover, he said government is in discussions with countries including China to boost supplies of DAP, urea and water-soluble fertilisers. The country has already imported 98 lakh tonnes of finished fertilisers up to February 2026, with a further 17 lakh tonnes of shipments lined up for delivery over the next three months. Besides, the Indian fertiliser companies have secured long-term supply agreements with major international producers for phosphatic and potassic (P&K) fertilisers to guard against regional pricing and supply volatility.

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