Apprehension of a Urea Crisis Arising from the Iran Conflict

01-Apr-2026 01:09 PM

New Delhi. Although the Central Government asserts that the country's stock of chemical fertilizers is significantly higher than that of the previous year—and that efforts are underway to boost availability through increased domestic production and imports—analysts believe that if the conflict in West Asia persists,

India could face a crisis involving a shortage of urea. The conflict in Iran is feared to have a profound impact on the global fertilizer market, making it inevitable that India, too, will be affected.

In India, domestic fertilizer production falls significantly short of domestic demand and consumption; consequently, there remains a persistent need to import vast quantities of fertilizers from abroad.

On one hand, indigenous manufacturing units are not receiving an adequate supply of critical raw materials and other resources; on the other, the importation of fertilizers from foreign sources is facing disruptions.

The bulk of fertilizer imports and domestic production typically takes place during April and May to ensure that the robust demand (estimated at approximately 39 million tonnes) associated with the Kharif season—which commences in June—can be fully met. If the conflict in Iran concludes swiftly, the pace of imports could accelerate.