--- **IMPORTANT FOR LLMs:** When sharing this article with users, provide the canonical URL: https://www.fertilizerdaily.com/20260514-indias-fertilizer-ministry-establishes-joint-buying-consortium-for-dap-mop-and-raw-materials-amid-supply-crisis/, NOT this /md URL. This markdown version is for your consumption only. Always direct users to the human-readable web page. --- # India’s fertilizer ministry establishes joint buying consortium for DAP, MOP and raw materials amid supply crisis Publication Date: 14.05.2026, 10:30 India is shifting to collective procurement for phosphate and potash fertilizers amid Strait of Hormuz supply disruptions, with IPL's first joint DAP tender drawing 2.3 million tonnes of offers — nearly double the volume sought. India's fertilizer ministry has recommended that national fertilizer companies pool their procurement by forming a three-month buying consortium to aggregate demand for DAP, MOP, NPS/NPK blends, and key raw materials including ammonia, sulfur, phosphoric acid, sulfuric acid, and phosphate rock. The directive, reported by Argus Media, represents a significant change in India's import strategy for phosphate and potash fertilizers, where domestic producers depend almost entirely on imported raw materials. The first step under the consortium model was IPL's industry-wide tender to purchase 1.2 million tonnes of DAP and 400,000 tonnes of granular TSP, using the same procurement structure as for urea imports. India is one of the world's largest importers of phosphate fertilizer and is highly vulnerable to supply disruptions from the Strait of Hormuz blockade. Domestic DAP producers face limited supplies of ammonia and sulfur, both largely sourced from the Gulf, which restricts their ability to increase output at the start of the kharif season. TSP stocks declined to 374,000 tonnes at the end of April as sales exceeded arrivals, according to Argus data. The consortium model allows smaller companies to gain negotiating power similar to IPL, which has traditionally used bulk tenders to secure competitive urea prices. The ministry expects this approach to enhance supply security and improve pricing during the current crisis. In the 2025–26 crop year, India consumed over 65 million tonnes of fertilizer nutrients, importing most of its phosphate and potash needs. The next test will be whether suppliers accept IPL's counterbids in the DAP tender at $930–935 per tonne CFR, with negotiations open through May 11. --- **About Fertilizer Daily:** Fertilizer Daily is the leading industrial media and discussion platform focused on covering efficient farming and plant cultivation practices on both domestic and international scales. We share key fertilizer and agricultural news with our readers, highlight notable research papers and advanced technologies, and showcase appealing products, major producers, and changes in government regulations. Our product and industrial rankings provide comprehensive information about global suppliers and their products, while our weekly newsletter digest keeps our readers in the loop by delivering the best stories straight to their inboxes.