India may not need to import urea after 2025, says Mansukh Mandaviya

This is owing to rising domestic production, nano supplies

India may not need to import urea after 2025. This is because domestic production of conventional urea and nano liquid urea supplies may be sufficient to meet the country’s demand, Union minister for chemicals and fertilisers Mansukh Mandaviya said on Tuesday.

Mandaviya said that by FY25, around 440 million bottles of 500 ml urea will be produced. This will be equivalent to around 20 million tonnes of urea. It will take care of the 9 million tonnes that India imports annually.

The country’s domestic urea production is around 26 million tonnes while demand is around 35 million tonnes. And, the gap is met through imports.

According to a ministry official, the government will save foreign exchange of about Rs 40,000 crore per annum due to a reduction in imports. One bottle of Nano urea is equivalent to one bag of urea.

Its application can effectively lead to a reduction in soil, water and air pollution, which happens due to the overuse of chemical fertilisers.

At present, the capacity of nano urea is 50 million bottles per year.

Cooperative major IFFCO has introduced innovative nano urea in the market. Commercial production had started on August 1, 2021, from its Kalol unit in Gujarat.

Seven more nano urea plants are being set up by IFFCO as well as two state-owned firms RCF and NFL. IFFCO has transferred nano urea technology to these two public sector undertakings free of cost.

Nano urea will lead to an increase in farmer income. This would be on account of reduction in input cost, higher crop yield and better prices, in view of better quality crops.

It is estimated that an average Rs 4,000 per acre increase is possible in farmer income by using nano urea.

On the overall fertiliser subsidy bill, the official said it is estimated to rise to about Rs 2.5 trillion this fiscal year from Rs 1.62 trillion in the previous year.