India to boost urea output amid LNG import challenges
India's daily urea production is projected to rise by 23% to keep fertilizer supplies steady for the upcoming Kharif 2026 season.
This quick move comes as LNG (liquefied natural gas) imports from West Asia hit a snag, so the government stepped in and bumped up gas deliveries to fertilizer plants, which is projected to raise output from 54,500 to 67,000 metric tons a day.
Spot LNG prices have increased significantly
To make this happen, officials secured extra natural gas, now meeting about three-quarters of what urea plants need (up from just over one-half before).
The catch? Spot LNG is way pricier now: $18 to $20 per unit compared to $10 to $12 before the crisis.
The government has set aside 6 billion rupees to cover these costs.
Fertilizer stocks are in much better shape now
Thanks to these efforts, India's fertilizer stockpile is in much better shape than last year.
Urea reserves are up to 6.1 million metric tons (from 5.5 million), DAP stocks have doubled, and NPK fertilizers are also way higher.
Basically: farmers can breathe easier heading into planting season.