Farmers Are Opting For Complex Fertilizers Due to DAP Shortage

The Indian farmers are forcibly going for more diversified and balanced plant nutrition applications as the international prices of fertilizers have broken all records. High sales of complex fertilizers and single super phosphate (SSP) in the current Rabi season have given birth to this problem, amidst widespread shortages of the much popular DAP (di-ammonium phosphate) and MOP (muriate of potash).  

In October-November, retail sales of complex fertilizers like nitrogen (N), phosphorus (P), potash (K), and sulphur (S) in various combinations totaled around 27.7 lakh tons, which marked a 50 percent increase over the 18.48 lakh tons during the corresponding two months of 2020. A remarkable jump in SSP sales can be seen from 9.5 lakh tons in October-November 2020 to 15.78 lakh tons in October-November 2021. The skyrocketing global prices have resulted in reduced imports, which further has taken a huge hit on sales of both DAP and MOP in the ongoing planting season. 

Department of Fertilizers’ data shows that “Retail DAP sales during October-November at 28.76 lakh tons, a decline of 18.4 percent as compared to the 35.23 lakh tons for the corresponding two months 0f 2020. MOP sales for October-November 2021 were reported at 4.88 lakh tons, 15.9 percent lower than 5.8 lakh tons for October-November 2020.”  

Interesting to know, that the least reduction in the sales of the two fertilizers, i.e. 9.83 lakh tons versus 10.08 lakh tons for DAP and 0.91 lakh tons versus 0.9 lakh tons for MOP was in the state of Uttar Pradesh, which is scheduled to go to polls early next year.

“Buoyant sales of complex fertilizers and SSP are a good sign. Not only is this needed, especially when global prices of fertilizers and raw materials/intermediaries (rock phosphate, sulphur, phosphoric acid, ammonia, and liquefied natural gas) have gone through the roof, balanced crop nutrition is the way forward”, said Satish Chander, Director General of the Fertilizer Association of India. 

The cost-plus freight of DAP in India is now around $870 per ton, with $1,000 per ton for urea and $450 per ton for MOP. This time last year, the rates for DAP, Urea, and Mop were $370, $280, and $230 per ton respectively. In 2020-21, complex fertilizer consumption in the southern states was 56.09 lakh tons out of 118.11 lakh tons and 37.46 lakh tons in western India. On the other hand, North and East India accounted for just 7.21 lakh tons and 17.35 lakh tons respectively. 

“Northern farmers are used to DAP and MOP. But this time, even these farmers have gone in for complexes and SSP. So, instead of one bag each of SSP and 20:20:0:13, together with giving nearly the same N and P plus 24% S”, said P S Gahlaut, Managing Director of Indian Potash Ltd.