Urea Freight India – Regional Comparison
India continues to rely heavily on urea imports to meet its agricultural demand, and freight rates play a key role in determining the overall urea import cost India faces each season. Among major exporters, China has emerged as one of the most competitive sources, offering freight advantages that directly reduce landed costs for Indian buyers.
China’s Competitive Freight Advantage in Reducing Urea Import Cost India
According to the latest data, shipments from China to East Coast India are quoted at $18–21/MT, while deliveries to West Coast India stand at $24–26/MT. For short-haul trade, China also maintains the lowest rates in the region, with Southeast Asia cargoes at $13–15/MT. This freight advantage makes China a reliable and cost-effective supplier for India’s fertilizer needs.
Middle East: Cheapest Urea Freight for India
The Middle East remains India’s largest supplier of urea due to both availability and freight advantage. Rates to West Coast India are at $11–13/MT, while East Coast India shipments cost $14–15/MT. This makes the Middle East the cheapest origin for India, keeping urea import costs under control.
Black Sea and Baltic: High Urea Shipping Rates to India
Freight from the Black Sea to India is significantly higher, with deliveries quoted at $46–50/MT, while Baltic shipments range from $42–47/MT. Longer distances, limited vessel supply, and regional disruptions add to the landed cost of urea, making these origins less competitive for Indian buyers.
Iran and Egypt – Alternative Urea Import Suppliers for India
From Iran, freight levels to India remain firm, with rates slightly above China and the Middle East. Meanwhile, Egyptian freight is moderate, with cargoes to India averaging $23–25/MT, offering a middle ground compared to high-cost Black Sea and Baltic origins.
Impact of Freight on Urea Landed Cost India
The comparison highlights a clear pattern: while India secures significant volumes from the Middle East at the lowest freight levels, Chinese freight rates provide an additional edge in reducing urea import cost India faces. In contrast, high rates from the Black Sea and Baltic put upward pressure on landed costs.
Future Outlook for Urea Import Price India
👉 Overall, India benefits most from the Middle East and China, where competitive freight helps reduce subsidy burdens and ensures affordability for farmers. The country’s import strategy remains closely tied to these cost-effective origins, securing both supply and price stability for the agriculture sector.
