Sales of key fertilizers in India dropped 13% year-on-year to 77.44 lakh tonnes (lt) in July 2026, according to The Hindu Business Line, as the kharif sowing area shrank and monsoon rainfall stayed 12% below normal. The report said the decline in urea, DAP, MOP and complex fertilizer sales has fueled concerns of a possible drop in crop production, even though the kharif area deficit has narrowed to less than 2%.
July fertilizer sales slip across all key grades
The latest official data cited by The Hindu Business Line show that total fertilizer sales in July 2026 fell 13% from 89.41 lt in the same month last year, with all major grades posting declines:
| Fertilizer | July 2026 sales (lt) | Year-on-year change |
|---|---|---|
| Urea | 49.28 | -9% |
| DAP | 10.70 | -1.4% |
| MOP | 1.95 | -21% |
| Complex | 15.51 | -29% |
| Total | 77.44 | -13% |
On a cumulative basis, consumption during April-July of the current fiscal year declined 9% to 191.44 lt from 210.6 lt in the year-ago period, the report said. While urea, MOP and complex fertilizer sales all contracted over the four months, DAP sales were flat at nearly 27 lt.
The report attributed the slide to lower area coverage in the current kharif sowing season, compounded by erratic rainfall that has influenced farmers' decisions on fertilizer usage. After a strong start in March and April, sales fell from May onward, according to the report.
Monsoon deficit and district-level rain stress
India received 485.5 mm of rainfall between June 1 and August 12, which is 12% less than normal, according to India Meteorological Department (IMD) data cited by the report. As many as 16 of the 36 States and Union Territories have reported deficient rainfall.
Key rain-related data points from the report:
- 338 out of 741 districts have received over 20% deficit rainfall since June 1.
- 112 districts received only 60% of normal rainfall or less.
- 191 districts recorded a rainfall deficiency of 30% or more, excluding the north-eastern States.
Experts quoted in the report warned that districts with less than 60% of normal rainfall may not be able to avoid a production drop because the weather outlook for the next 20 days is not promising. Farmers will likely lose crop yield even if they go for late sowing, the report said.
Kharif acreage trails, production targets set
Sowing area under most major kharif crops—except urad, soybean and groundnut—is trailing this year. The total sown area reached 967.92 lakh hectares (lh) as of August 7, compared with 985.89 lh a year earlier, a decline of 1.8%, the report said.
The government has set a kharif 2026 production target of 176.16 million tonnes (mt) of foodgrains, comprising:
- Rice: 123.15 mt
- Pulses: 8.4 mt
- Maize: 31.04 mt
- Nutri cereals: 13.56 mt
For oilseeds, the target is 28.92 mt, with soybean at 14.85 mt and groundnut at 11.35 mt, according to the report.
Experts split on output outlook
A former deputy director-general of the Indian Council of Agricultural Research (ICAR), quoted by the report, said the sowing window has been missed in many States this year and estimated a 5-7% fall in yield in key crops because several districts have over 40% rainfall deficit. He added that delayed sowing could still be made up at the end of the season if acreage matches last year's level.
Delayed sowing may be made up at end of the season if acreage matches that of last yea, but timely planting is highly critical to get desired production. This year, the sowing window has been missed in many States, depending on the crop that is sown. Overall, there could be 5-7 per cent fall in yield in key crops as several districts have over 40 per cent rainfall deficit.
In contrast, S K Chaudhary, director-general of the Fertiliser Association of India (FAI), said the nutrients available to farmers are sufficient to expect normal output.
The report also noted that the overall fertilizer consumption during April-July declined 9%, while the government has set a kharif foodgrain production target of 176.16 mt. With several districts facing over 40% rainfall deficit, the former ICAR official projected a 5-7% fall in yield in key crops.