15 India-bound fertiliser ships clear Hormuz Strait, stocks to surge
Synopsis
Key Takeaways
A total of 15 India-bound vessels carrying fertilisers and fertiliser raw materials have safely crossed the Strait of Hormuz, according to an official statement issued on Sunday, 5 July. The clearance is expected to deliver a significant boost to India's fertiliser stocks at a time when West Asia tensions had threatened to disrupt critical agricultural supply chains.
What the Shipments Carry
Of the 15 vessels that have cleared the strait, eight are transporting 3.32 lakh metric tonnes (LMT) of urea, four are carrying 2.57 LMT of DAP (di-ammonium phosphate), and three are laden with 1.11 LMT of sulphur. Together, these shipments represent a substantial injection into India's fertiliser pipeline ahead of the kharif sowing season.
Five More Vessels En Route
Beyond the 15 that have already crossed, five additional vessels are scheduled to arrive in India. One is carrying 0.25 LMT of ammonia and another 0.45 LMT of urea. Loading operations are currently under way on two more urea vessels and one sulphur vessel. All five are expected to arrive as scheduled, further reinforcing domestic stocks, according to the official statement.
Gas Supply Fully Restored, Urea Plants at Full Capacity
In a parallel development, natural gas supply to fertiliser manufacturing plants — which had temporarily dipped to around 65 per cent of normal levels — has now been fully restored to 100 per cent. As a result, all urea plants across India are operating at full capacity, driving a significant uptick in domestic production. The combination of restored gas supply and incoming shipments is expected to stabilise fertiliser availability nationwide.
How India Secured Supplies Amid the Crisis
The government says it navigated the disruption through advance planning, inter-agency coordination, and active diplomacy. 28 Indian Missions abroad played a key role, facilitating contacts with producers and supporting the Department of Fertilisers in securing timely supplies. For urea, alternative sources were arranged from Oman, Malaysia, Vietnam, Georgia, Nigeria, Russia, Finland, Egypt, Algeria, Turkiye, and the Netherlands. DAP and NPK fertilisers were sourced via the Red Sea route from Russia, Morocco, Egypt, the United States, Jordan, South Korea, Tunisia, and Saudi Arabia.
What the Government Said
Union Minister for Chemicals and Fertilisers J.P. Nadda acknowledged the severity of the disruption. 'The conflict that began in West Asia severely disrupted global supply chains. Fertiliser prices soared and shipment transit times increased considerably. India was also affected by this global crisis, resulting in challenges in ensuring uninterrupted supplies of fertiliser raw materials and finished fertilisers. However, under the able leadership of Prime Minister Narendra Modi, the Government of India remained vigilant and fully prepared from the very beginning,' he said.
Nadda added that despite an unprecedented surge in global fertiliser prices, the government had kept farmers' welfare as its highest priority, ensuring fertilisers remain available in a 'timely, equitable and affordable manner.' This comes amid broader concerns about food security and input cost pressures on Indian farmers, particularly smallholders dependent on subsidised urea.