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Fertilizer sales up 12 percent year-on-year due to favorable weather

Thursday, March 25, 2021

According to the ICRA rating agency, fertilizer sales in India increased by 12 percent year-on-year. Further growth in sales volume is expected as the area of winter-sown crops this season stands at about 67.5 million hectares. This increase in cultivated area is based on a high rainfall monsoon season, sufficient water in reservoirs, and subsidies from the government. Fiscal 2021 will be critical for the fertilizer industry, ICRA estimates. Manufacturers could sell record volumes, earn good profits and reduce debt.


Ravish Mehta, chief analyst at ICRA Ratings, said due to the extraordinary increased acreage in the winter season as well as a good summer harvest, fertilizer sales volumes have reached record levels in fiscal 2021. Sales volumes of individual fertilizer or fertilizer components increased in the range of 9 to 29 percent. The substances most in demand were urea, ammonium phosphate, compound fertilizer, potassium chloride and supersphospate. Fertilizer retailers also saw strong growth in fiscal 2021, as farmers mostly stockpiled small quantities to reduce their expenses.

The Indian government plans to provide further subsidies of between $12 billion and $13 billion to the fertilizer industry in the upcoming fiscal year 2022. With good crop forecasts for the current season, prices are expected to remain stable as well as government tax revenues to increase, ICRA analysts said. The winter season of Indian agriculture includes wheat, rapeseed, mustard and chickpeas. Wheat accounts for the majority at 33.7 million hectares, or 49 percent, followed by chickpeas at 10.9 million hectares and oilseeds such as rapeseed and mustard at 7.3 million hectares. For oilseeds, a record area was cultivated for this season, most of it in the state of Rajasthan, which accounts for 35 to 40 percent of the total cultivated area. Fertilizers and related chemicals require BIS-ISI certification before being imported into India or placed on the market. MPR International GmbH – India Certification will be pleased to assist you with BIS-ISI certification and is also available to answer any questions you may have.

Since 2012, the BIS has been gradually expanding the certification catalog and continuously adding additional goods. BIS certification mandatory for many electronic products for industrial and consumer uses. Factory inspections are also required for some products.

If you are interested in understanding what requirements are needed for your product to be imported into India, please do not hesitate to contact us by email or phone at +49-69-271 37 69 261. There is no cost or obligation for us to check for you. If a certification need is discovered we can provide a quotation to make sure that all your certification needs are covered.

If you have any questions you can also use our chat-window in the bottom right. (Please check your browser settings if you can’t see the window)

For more information about BIS certification, please refer to our free brochure “BIS Certification Made Easy“.

Julian Busch

About the author: Julian Busch is the founder and managing director of MPR International GmbH

Publisher: MPR International GmbH

Tel.: +49 69 271 37 69 261

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