10 March 2026·PIB

India Secures 86 Lakh Tonnes of Fertilizers via Global Pacts; Domestic P&K Production Surges to 211 LMT

In this note

1. At a Glance

Department of Fertilizers (Ministry of Chemicals & Fertilizers) announced India has tied up ~86 LMT of fertilizer imports through long-term agreements with Saudi Arabia, Russia and Morocco, while domestic P&K output reached 211.22 LMT in 2024-25 [1][2].
Captures India's twin push: import diversification + Atmanirbhar Bharat in P&K (Phosphatic & Potassic) fertilizers, regulated under the Essential Commodities Act, 1955 and Fertilizer Control Order, 1985 [2][3].
Examinable for GS-III (Agriculture, Subsidies, Food Security) and GS-II (Government policies, Centre-State relations on distribution).

PIB release dated 10 March 2026 by the Department of Fertilizers detailing Kharif 2025 and Rabi 2025-26 supply situation, global procurement pacts, and enforcement against black-marketing [1].
52 FIRs filed in Uttar Pradesh to curb black-marketing and forced tagging of fertilizers; nationwide UP led with 28,273 inspections, 2,730 licence cancellations/suspensions [3].

Urea: subsidised under the New Urea Policy & New Pricing Scheme (NPS-III); MRP statutorily fixed.
P&K fertilizers: brought under the Nutrient Based Subsidy (NBS) Scheme from April 2010; prices decontrolled but subsidy fixed per nutrient (N, P, K, S) [1].
Domestic P&K production rose from 159.54 LMT (2014-15) to 211.22 LMT (2024-25) — a ~32% jump [1].
Government-facilitated long-term agreements (LTAs/MoUs) with foreign suppliers institutionalised post-2022 Russia-Ukraine supply shock [1].

Nodal Ministry: Ministry of Chemicals & Fertilizers → Department of Fertilizers [1].
Statutory base: Essential Commodities Act, 1955; Fertilizer (Control) Order, 1985 [3].
Global pact volumes (annual) [1]:
Saudi Arabia — 31 LMT
Russia — 30.10 LMT
Morocco — 25 LMT
Total ≈ 86.10 LMT
Domestic P&K production 2024-25: 211.22 LMT (vs 159.54 LMT in 2014-15) [1].
Indigenous urea capacity: 283.74 LMTPA under Atmanirbhar Bharat [4].
DAP MRP capped at ₹1,350/bag for Rabi 2025-26 despite global volatility [5].
Rabi 2025-26 review window: 01 Oct 2025 – 05 March 2026 [1].

Economic

Insulates ~₹1.7+ lakh crore annual fertilizer subsidy bill from global price shocks by locking volumes via LTAs [1].
NBS keeps P&K subsidy aligned to international raw-material prices (rock phosphate, MOP, sulphur) [5].

Geopolitical / Strategic

Diversifies dependence: Morocco (phosphates), Russia (DAP/NPK/MOP), Saudi Arabia (DAP/urea) — hedges against single-source disruption (China DAP export curbs, Belarus sanctions) [1].
Reinforces India-Gulf-Eurasia agri-input corridor.

Administrative / Federal

Centre ensures State-level availability; intra-State distribution rests with States [1].
Enforcement under EC Act devolved to States; UP, MP, Bihar, Haryana flagged for Kharif 2025 monitoring [1][3].

Scientific / Technological

Push for Nano Urea, Nano DAP, PM-PRANAM balanced fertilization to cut import dependence and soil degradation.

Environmental

Over-use of urea (skewed N:P:K ratio) addressed via NBS-driven balanced fertilisation and decarbonisation of fertilizer sector via green ammonia [6].

10 Mar 2026 — PIB release on 86 LMT global pacts & 211 LMT domestic P&K [1].
Rabi 2025-26 — Cabinet approved NBS rates; DAP MRP held at ₹1,350/bag [5].
Jan 2026 — Record monthly P&K production of 15.76 LMT [7].
2025-26 — UP filed 52 FIRs (black-marketing) + 7 FIRs (forced tagging) Apr 2025 – Feb 2026 [3].
Decarbonisation roadmap for fertilizer sector announced (green ammonia, energy security) [6].

NBS Scheme launched: April 2010, covers P&K fertilizers (not urea) [5].
Urea: still under statutory price control; sold at fixed MRP.
Long-term annual pacts: Saudi Arabia 31 LMT, Russia 30.10 LMT, Morocco 25 LMT [1].
P&K production 2024-25 = 211.22 LMT; 2014-15 = 159.54 LMT [1].
Indigenous urea capacity = 283.74 LMTPA [4].
Fertilizer distribution regulated under Essential Commodities Act, 1955 + Fertilizer Control Order, 1985 [3].
DAP MRP ceiling Rabi 2025-26 = ₹1,350/50-kg bag [5].
"Forced tagging" = compelling farmers to buy non-subsidised products bundled with subsidised fertilizers — punishable under EC Act [3].
Nodal ministry = Ministry of Chemicals & Fertilizers, not Ministry of Agriculture.
UP Rabi 2025-26: 28,273 inspections, 2,730 licences cancelled/suspended, 157 FIRs total [3].
PM-PRANAM (Promotion of Alternate Nutrients for Agriculture Management) incentivises States cutting chemical fertilizer use.

GS-III: Issues related to direct & indirect farm subsidies; food security; PDS/buffer stocks; agricultural marketing.
GS-II: Government policies & interventions; Centre-State distribution of responsibilities.
Probable stems: 1. "Long-term import agreements have become central to India's fertilizer security strategy. Examine." 2. "Discuss the rationale for retaining urea under price control while decontrolling P&K fertilizers under NBS." 3. "Black-marketing and forced tagging undermine the fertilizer subsidy regime. Suggest reforms."

Nutrient Based Subsidy (NBS) Scheme — direct policy linkage.
PM-PRANAM & Nano Urea/DAP — alternative-nutrient push.
Direct Benefit Transfer (DBT) in Fertilizers — POS-based subsidy disbursal.
Essential Commodities Act, 1955 — statutory umbrella.
Green Ammonia & National Green Hydrogen Mission — feedstock decarbonisation [6].
Soil Health Card Scheme — balanced fertilisation context.
India-Morocco, India-Russia, India-Saudi bilateral ties — minerals & fertilizer dimension.
MSP & farm input cost dynamics — agri-economics link.

Confusing nodal ministry: it is Chemicals & Fertilizers, not Agriculture & Farmers Welfare.
Urea is NOT under NBS; only P&K fertilizers are.
NBS launched in 2010, not 2008 or 2012.
"211 LMT" refers to domestic P&K production, not total fertilizer consumption.
Statutory base for action is EC Act 1955 + FCO 1985 — not the Fertilizer Movement Control Order alone.
Morocco supplies rock phosphate/DAP (via OCP), not potash; potash bulk comes from Russia/Belarus/Canada.