China to ship 1.2 million tonnes of urea to India as prices plunge 58% from April’s $935 peak

China is set to supply at least 1.2 million metric tons of urea to India under the latest tender from state agency Rashtriya Chemicals and Fertilizers, according to Bloomberg, citing people familiar with the matter. The volume represents roughly two-thirds of the 1.7 million tonnes RCF sought, with shipments required to leave loading ports by September 24.

The lowest offers came in at $390.25 per tonne CFR India’s east coast and $393.65 on the west coast, submitted by Ameropa, according to Profercy. That compares with approximately $444–$449 per tonne in India’s June tender and the record $935–$959 per tonne India paid in an emergency April purchase of 2.5 million tonnes during the height of the Strait of Hormuz crisis.

Beijing’s return to the export market has been the dominant factor in easing global nitrogen tightness. China’s 2026 urea export allowance has expanded to roughly 5–5.5 million tonnes, and July exports reached about 403,000 tonnes, up from just 7,000 tonnes in June. Through July, total Chinese exports stood at approximately 907,000 tonnes.

The trade is the clearest sign yet that the urea price decline that began in midsummer has supply-side momentum behind it, not just seasonal demand weakness.

Source: Bloomberg