Home India Ministry of Chemicals and Fertilizers Government Enhances Gas Supplies: Urea Production up by 23%...
Date: 2026-03-19 Category: Press Release State: Union Government Country: India

Government Enhances Gas Supplies: Urea Production up by 23%

Issued by Ministry of Chemicals and Fertilizers · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** The Government of India has implemented a multi-pronged strategy to stabilize fertilizer availability for the Kharif 2026 season, mitigating risks from global supply chain volatilities. Key initiatives include a 23% increase in domestic Urea production through enhanced gas supplies and a diversified global procurement strategy. The government expects the bulk of fertilizer stocks to be positioned in Indian warehouses by the end of March 2026. **Key Points / Main Content** **Gas Supply and Urea Production** * The Empowered Pool Management Committee (EPMC) successfully secured an additional 7.31 MMSCMD of natural gas on a spot basis. * Total gas supply to Urea plants has increased by 23%, rising from 32 MMSCMD to 39.31 MMSCMD. * Daily domestic Urea production is projected to increase from 54,500 MT to 67,000 MT. * The fulfillment of gas requirements for Urea plants has improved from 62% to 76% of their average needs. **Stock Position (as of March 19, 2026)** * Urea stocks have increased to 61.14 LMT, compared to 55.22 LMT in March 2025. * DAP stocks have more than doubled, reaching 24.24 LMT from 11.85 LMT the previous year. * NPKs and SSP stocks have risen to 57.21 LMT and 24.80 LMT respectively. * MOP stocks stand at 12.65 LMT. **Global Procurement and Diplomacy** * The Department of Fertilizers issued global tenders in advance, receiving strong responses from international suppliers. * A diversified import approach is being maintained through high-level diplomatic engagements with multiple supplier nations. * The strategy aims to ensure that the majority of ordered quantities arrive in warehouses before the end of the current month. **Impact Analysis** **Indian Farmers** **Impact** Farmers are insulated from global supply chain volatility and are provided with a substantial stock cushion (particularly in Urea and DAP) for the upcoming Kharif 2026 sowing season. **Action Required** Utilize the stabilized supply of fertilizers for upcoming seasonal agricultural activities. **Urea Production Plants** **Impact** Plants benefit from a significant increase in raw material (natural gas) availability, allowing for a 23% boost in daily output and higher capacity utilization. **Action Required** Increase daily production levels from 54,500 MT to the targeted 67,000 MT to meet projected domestic requirements. **Department of Fertilizers** **Impact** The Department has successfully transitioned to a proactive governance model by securing advance tenders and diversifying import sources. **Action Required** Monitor and ensure that the bulk of ordered fertilizer quantities are successfully delivered to Indian warehouses before the end of March 2026.

Key Entities Referenced

Department of Fertilizers: The primary department responsible for managing fertilizer stocks and executing global procurement strategies to ensure agricultural supply. Empowered Pool Management Committee (EPMC): The committee that conducted natural gas bidding, leading to a 23% increase in gas supply to domestic urea production plants. Ministry of Chemicals and Fertilizers: The central ministry overseeing the enhancement of gas supplies and stabilization of fertilizer availability for Indian farmers. Ministry of External Affairs (MEA): The ministry involved in high-level diplomatic engagements with international supplier nations to diversify fertilizer imports. Randhir Jaiswal: Spokesperson for the Ministry of External Affairs who outlined the government's strategy for securing fertilizer stocks through global tenders.
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Ministry of Chemicals and Fertilizers Government Enhances Gas Supplies: Urea Production up by 23% Kharif 2026 Secured: Fertilizer Imports Diversified to Insulate Indian Farmers Bulk of Fertiliser to be in Indian warehouses before March- End Posted On: 19 MAR 2026 7:06PM by PIB Delhi Amid recent developments in West Asia, the Government of India has successfully executed a multi- pronged strategy to stabilize and increase fertilizer availability ahead of the Kharif 2026 season. Through a combination of domestic production hikes and a sophisticated global procurement strategy, the Department of Fertilizers has moved to insulate Indian farmers from global supply chain volatilities. Gas Supply through Global Tender Government has successfully concluded EPMC (Empowered Pool Management Committee) bidding for natural gas, a move that directly translates to more Urea on the ground. By securing an additional 7.31 MMSCMD (Million Metric Standard Cubic Meters per Day) of gas on a spot basis, the total supply to Urea plants has jumped by 23% (from 32 MMSCMD to 39.31 MMSCMD). This technical intervention is set to yield immediate results: domestic Urea production is projected to climb by almost 23% i.e. from 54,500 MT/day to 67,000 MT/day. Crucially, this brings the plants' gas requirement fulfillment to 76% of their average needs, up significantly from the previous 62%. Comfortable Stock Position The government’s proactive stance is further validated by the current stock levels, which show a significantly stronger position compared to the same period last year. Total Urea stocks currently stand at 61.14 LMT, up from 55.22 LMT in March 2025. Most notably, DAP stocks have more than doubled to 24.24 LMT, providing a substantial cushion for the upcoming sowing season. Product (LMT) Stock as on 19.03.2026 Stock as on 19.03.2025 Urea 61.14 55.22 DAP 24.24 11.85 NPKs 57.21 34.44Product (LMT) Stock as on 19.03.2026 Stock as on 19.03.2025 SSP 24.80 23.15 MOP 12.65 14.13 The Diplomatic Advantage For #Kharif2026, we have adequate fertilizer stocks and are in a comfortable position. The Department of Fertilizers has also issued global tenders well in advance and received very good responses. — Randhir Jaiswal, Spokesperson, MEA#FertilizerStock@meaindia @PIB_India pi c.twitter.com/m4er6IfrwY — Department of Fertilizers (@fertmin_india) March 19, 2026 During the Inter-ministerial Press Briefing, Shri Randhir Jaiswal, Spokesperson, MEA highlighted the government’s strategy and underlined this diversified approach: "Regarding our fertilizer situation at this point in time, especially for Kharif 2026, we have adequate stocks; we are comfortable. The Department of Fertilizers has also put out global tenders well in advance in anticipation of the current situation, and these have received very good responses. We expect the bulk of the quantities ordered from a variety of sources to arrive by the end of March. Having said that, let me say: yes, we have a diversified approach towards procuring fertilizer imports, and we continue to remain in touch with several countries in that regard." By aggressively pursuing global tenders and maintaining high-level diplomatic engagements with multiple supplier nations, the Department has ensured that the bulk of quantities will be in Indian warehouses before the month concludes, marking a significant victory for proactive governance. *** Neeraj Kumar Bhatt/Amit/Shatrughna Prasad (Release ID: 2242656) Visitor Counter : 413 Read this release in: Urdu , ही , Marathi , Gujarati , Telugu , Kannada

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