The Government of India has taken comprehensive measures to safeguard the country's fertilizer supply chain and ensure uninterrupted availability of fertilizers despite disruptions arising from the geopolitical conflict in West Asia. The conflict during 2025-26 affected global supply chains for fertilizers and key raw materials, resulting in higher freight and insurance costs, shipment delays and price volatility. India's imports of ammonia, phosphoric acid and sulphur were particularly impacted, while potash imports witnessed higher landed costs due to global logistics disruptions. Despite these challenges, fertilizer availability in the country remained largely adequate through diversified sourcing and timely Government interventions.

The Government has undertaken sustained efforts to diversify import sources so as to mitigate risks arising from global supply chain disruptions. The measures taken include:

• Facilitating long-term commercial arrangements between Indian fertilizer companies and overseas suppliers to strengthen fertilizer supply security.
• Engaging with Indian Missions abroad to identify and explore alternative sources of supply from various countries, thereby reducing dependence on a limited number of suppliers and strengthening the resilience of the fertilizer supply chain.
• Collective procurement of fertilizers and raw materials like ammonia and sulphur, by the fertilizer industry through a consortium of industry members, with the objective of ensuring transparent price discovery, improving bargaining power with global suppliers, and securing timely availability of raw materials.

The Government continues to implement a robust mechanism every cropping season to ensure timely and adequate fertilizer availability. Before the commencement of each season, the Department of Agriculture & Farmers Welfare (DA&FW), in consultation with State Governments, assesses State-wise and month-wise fertilizer requirements. Based on these projections, the Department of Fertilizers issues monthly supply plans, continuously monitors fertilizer movement through the Integrated Fertilizer Management System (iFMS), and conducts regular weekly video conferences with State Agriculture officials to review availability and undertake corrective measures wherever required. Distribution of fertilizers within States is carried out by the respective State Governments.

As a result of these measures, adequate availability of Urea, DAP, MOP and NPKS has been maintained across the country during FY 2025-26 as well as the ongoing Kharif 2026 season. The detailed information on fertilizer requirement, availability, sales and closing stocks is provided below.

Further, in respect of Phosphatic and Potassic (P&K) fertilizers, the Government has implemented the Nutrient Based Subsidy (NBS) Scheme with effect from 01.04.2010. Under the Scheme, P&K fertilizers are covered under Open General License (OGL), and companies are free to import/manufacture these fertilizers as per their business dynamics, which provides flexibility to maintain adequate supplies.

The Government identified certain supply chain risks arising from the ongoing conflict in West Asia, particularly with regard to industrial chemicals and feedstocks used in pharmaceutical manufacturing. These include temporary shortage and price increase of inputs such as Isopropyl Alcohol (IPA), Ammonia and Methanol. To mitigate these risks and ensure continuity of pharmaceutical production, the Government has undertaken several contingency measures. These include facilitating allocation of propylene to improve the availability of Isopropyl Alcohol (IPA) and Propylene Glycol in coordination with Ministry of Petroleum and Natural Gas, facilitation of supply of surplus ammonia to pharmaceutical industries and securing improved methanol supply through existing traders and augmenting supply alternatives in coordination with domestic manufacturers.

The Government continuously monitors the availability and supply chain of industrial chemicals used across critical downstream sectors, including pharmaceuticals, petrochemicals, water treatment and manufacturing industries. In view of the evolving geopolitical situation arising from the West Asia crisis, to ensure continuous supply Customs Duty on 40 essential Chemicals and Petrochemicals having widespread downstream applications, has been reduced to zero till 15th July 2026.The Government has also taken measures for suspension of Quality Control Orders (QCOs) on Linear Alkyl Benzene (LAB), Butyl Acrylate and Morpholine by the Department of Chemicals and Petrochemicals to diversify sources of imports of critical chemicals.

This information was provided by Hon’ble Minister of Chemicals & Fertilizers Shri Jagat Prakash Nadda, in a written reply to a question in the Lok Sabha today.

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Neeraj Kumar Bhatt/Shatrughna Prasad

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