Is India paying more than its neighbours for DAP? Is this blackmail?

IndianFertilizer.com reports aggressive procurement at $600/t CFR as state-backed importers act early to avoid Kharif disruption.
By: www.indianfertilizer.com
 
DELHI, India - May 14, 2025 - PRLog -- India is rapidly securing diammonium phosphate (DAP) imports ahead of the Kharif season, marking a shift from its typically price-sensitive procurement strategy. According to IndianFertilizer.com, government-supported importers like RCF, IFFCO, and IPL are locking in high-volume contracts at prices reaching $600/t CFR.

In April 2025 alone, India imported over 640,000 tonnes of DAP—the highest in a year—indicating a strong, front-loaded supply push to prevent a repeat of 2022's fertilizer crisis, when delayed procurement caused widespread shortages and panic buying.

Key highlights:
  • Jordanian and Saudi-origin DAP fetched prices between $570–600/t CFR
  • Over 70% of April imports were booked by top PSUs like RCF, IFFCO, and IPL
  • MMTC secured a 45,000t Jordanian parcel at near-peak pricing for IPL and CIL
  • FACT floated a 48,000t phosphoric acid tender, further securing supply lines

India is even paying a $100/t premium over regional buyers like Bangladesh and Southeast Asia to ensure uninterrupted flow of cargoes.

The government's fertilizer subsidy mechanism continues to play a vital role in shielding importers from full global pricing impact, making bold procurement financially viable.

IndianFertilizer.com highlights that the 2022 DAP crisis—marked by prices above $950/t and empty warehouses—has deeply influenced 2025's forward-planning. By paying more now, India hopes to avoid the kind of panic buying and political backlash experienced three years ago.

Read the full report at:
🔗 https://www.indianfertilizer.com

Contact Information:
Editorial Desk
editorial1@indianpetroplus.com
📍 New Delhi, India


Contact
Aniruddha Sharma
***@indianpetroplus.com
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Source:www.indianfertilizer.com
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Tags:DAP imports India
Industry:Agriculture
Location:Delhi - Delhi - India
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