India to Boost Urea Imports as Global Prices Drop Sharply

Urea Imports Expected to Rise as Global Prices Decline

India is likely to increase its urea imports following a recent procurement tender issued by National Fertilisers Limited (NFL) for 1.7 million tonnes of the fertiliser. The tender, opened on June 8, received supplier bids that were significantly lower than those quoted in the Indian Potash Limited (IPL) tender held in May 2026.

Industry sources indicate that the latest offer prices are more than 50% below the levels seen a month ago and have returned to rates recorded before geopolitical tensions between Iran and the United States disrupted global fertiliser markets earlier this year.

While China had previously signalled its intention to resume urea exports amid elevated international prices, the recent market downturn has reportedly prompted a reassessment of those plans. Current price levels are considered less attractive for Chinese exporters, reducing the likelihood of large-scale shipments from the country.

Meanwhile, India is expected to announce the lowest accepted bid price for the tender shortly. Market observers believe the government is likely to approve the import of the full 1.7 million tonnes to ensure adequate fertiliser availability for the agricultural sector.

Under the tender, the lowest offers received were approximately $449 per tonne for deliveries to ports on India's west coast and $445 per tonne for east coast destinations. Once finalised, shipments are expected to begin in the coming weeks.