Government allows IPL to import urea until March 2026

The Directorate General of Foreign Trade announced on Tuesday that India has extended urea imports through India Potash Ltd (IPL) for an additional year, until March 31, 2026. India imported US$ 1.8 billion worth of urea in FY25, with Oman and Russia being the leading suppliers.

India has extended the authorization for urea imports via India Potash Ltd (IPL) until March 31, 2026, according to a notification issued by the Directorate General of Foreign Trade (DGFT). Indian Potash Limited (IPL) is a government-supported entity, though not owned by the government, that primarily deals in potash, urea, and other essential fertilizers used by farmers. 

According to the notification issued by DGFT, India Potash Ltd’s (IPL) status as a State Trading Enterprise (STE) for importing urea on government account has been extended from March 31, 2025, to March 31, 2026. India Potash Ltd (IPL) will continue to import urea along with the government-owned public sector undertakings Rashtriya Chemicals and Fertilizers (RCF) and National Fertilizers Limited (NFL), both of which are already authorized to import the essential soil nutrient.

“The Central Government hereby extends the STE status of Indian Potash Limited (IPL) from March 31, 2025 to March 31, 2026 for import of urea on government account,” the notification stated.

To ensure steady prices and adequate availability of critical imports like urea, the government restricts their import and grants State Trading Enterprise (STE) status to a select group of entities. This approach limits free import by private companies, allowing only authorised bodies to carry out imports under government oversight.

During the April–December period of FY25, the country imported urea worth US$1.8 billion, with US$ 829 million from Oman and US$ 272 million from Russia. Urea imports, reached 43.16 lakh tonnes in the first nine months of FY25, reflecting a 28.9% drop from 60.71 lakh tonnes during the same period last year. In comparison, India had recorded an all-time high urea import of 98.28 lakh tonnes in FY 2020-21.

Total fertilizer imports also declined by 18.4%, falling to 120.54 lakh tonnes between April and December. Imports of complex fertilizers fell 16.1% to 14.85 lakh tonnes from 17.71 lakh tonnes, while imports of DAP (Di-Ammonium Phosphate) dropped 19.1% to 40.82 lakh tonnes, down from 50.47 lakh tonnes a year earlier.