India is the 3rd largest producer and consumer of fertilizers in the world. Overall production of fertilizers during FY18 has been 413 LMT. The Indian fertilizer market was worth INR 5,437 Billion in 2018.
Domestic production of urea has decreased marginally by 0.7%, and imports have increased by 9.0% during FY18. Urea imports started increasing from the second half of year 2018 onwards. Import dependence of urea slightly increased from 18.5% in FY17 to 19.9% in FY18 while share of domestic production decreased marginally from 81.5% to 80.1% during this period. Presently India mainly imports Urea from Oman (42%), Iran (34%) and China (13%)
Diammonium Phosphate (DAP) production has risen on account of expansion of domestic capacity and easy availability of acid, which has partly substituted imports that decreased by 3.8% during FY18. India mainly imports DAP from China (45%), Saudi Arabia (31%), USA (13%) and Jordan (5%).
India meets its Potassium chloride also called as Potash or MOP requirements completely through imports from Canada (23%), Russia (22%), CIS+ Belarus (15%), Israel (15%), Jordan (11%) and Lithuania (10%). MOP imports have increased by 26.8%.
The Indian Fertilizer market is projected to reach INR 11,116 Billion by 2024, growing at a CAGR of 12.3% during 2019-2024. The demand of fertilizers in India has witnessed double digit growth rates over the past several years thanks to sustainable agriculture industry