NFL urea tender draws bids as low as $445/t, more than half April levels

India’s state-run National Fertilizers Limited received bids as low as $444.9-449.3 per tonne for its 1.7-million-tonne urea import tender, more than 50% below the $935-959 per tonne winning levels in an April tender, according to Indian trade sources.

Suppliers offered a combined 6.24 million tonnes against the tendered volume, Business Standard reported, with the strong response reflecting easier global urea supply since China resumed export quotas in May. Indian officials said the government may reassess its 2026-27 fertilizer subsidy budget, which had been built around the earlier price spike triggered by the Strait of Hormuz closure.

NFL floated the tender May 27 on behalf of the Department of Fertilizers, seeking shipments to load by July 20 ahead of the kharif sowing season. The tender was the first major test of urea pricing in India since the Iran war disrupted Gulf supply chains in late February.

Final award volumes and supplier allocations have not yet been disclosed. Traders are watching whether China’s export quotas hold steady through the kharif buying window.

Source: Business Standard