The potential closure of the Strait of Hormuz has once again highlighted India’s heavy dependence on fertiliser imports at a time when the country is preparing for the crucial kharif sowing season.
The strategic waterway handles a large share of global energy and fertiliser trade. Any disruption could affect supplies of key agricultural inputs just as farmers begin preparing for the next crop cycle.
India Among Most Exposed to Hormuz Disruptions
According to analysis by Rabobank, India ranks among the countries most vulnerable to a prolonged closure of the Strait of Hormuz.
Unlike crude oil, India does not maintain large strategic reserves of nitrogen-based fertilisers. As a result, disruptions to maritime trade routes could quickly translate into supply shortages or price spikes in the domestic fertiliser market.
India is one of the world’s largest consumers of fertilisers, with farmers heavily reliant on products such as urea, diammonium phosphate (DAP) and potash to maintain crop yields.
Dependence on Imports Remains High
India imports a significant portion of its fertiliser requirements, particularly for phosphatic and potassic fertilisers. A substantial share of these supplies originates from countries in the Gulf region, making shipping routes through the Strait of Hormuz critical for India’s agricultural supply chain.
With the kharif season approaching, the timing of any disruption could affect fertiliser availability during peak demand.
The kharif cropping season—beginning with the onset of the monsoon—includes key crops such as rice, maize, cotton and soybeans, all of which require adequate fertiliser application to maintain productivity.
Fertiliser Security Emerging as Strategic Issue
Experts say the current crisis highlights the need for India to reduce its reliance on imported fertilisers and strengthen domestic alternatives.
One potential solution being discussed is greater adoption of biofertilisers, which use natural microorganisms to improve soil fertility and reduce the need for chemical fertilisers.
Biofertilisers are increasingly being promoted as part of sustainable agriculture strategies because they can improve soil health while lowering import dependence.
However, experts note that transitioning to biofertilisers at scale will take time, as farmers are accustomed to chemical fertilisers that deliver faster and more predictable crop responses.
Need for Long-Term Fertiliser Strategy
The Hormuz crisis has revived debate over India’s fertiliser policy and the long-term sustainability of its import-dependent model.
Analysts say India may need to pursue a combination of strategies, including:
boosting domestic fertiliser production
diversifying import sources
expanding natural gas supplies for fertiliser plants
encouraging greater use of biofertilisers and organic inputs
Strengthening supply resilience is increasingly seen as essential for protecting India’s food security and ensuring stable agricultural production.