Home General Russian Gas Powers India’s Fertiliser Push

Russian Gas Powers India’s Fertiliser Push

India is boosting Russian fertiliser imports through a planned urea plant and upgraded connectivity routes.
Putin visit Russian fertiliser
India has been importing 3–4 million tonnes of fertilisers annually from Russia in recent years, including urea, potash and key raw materials.

India is moving to deepen its fertiliser partnership with Russia through new investments, ongoing trade negotiations and improved transport corridors, as work on an India-backed urea manufacturing plant in Russia gains traction.

Senior MEA officials, speaking ahead of President Vladimir Putin’s visit, said fertilisers remain a priority in bilateral economic engagement. India has been importing 3–4 million tonnes of fertilisers annually from Russia in recent years, including urea, potash and key raw materials.

With global markets disrupted by geopolitical tensions and price spikes over the past two years, New Delhi is looking to secure more predictable and stable supply chains.

State-run firms Rashtriya Chemicals & Fertilisers (RCF), National Fertilisers Ltd (NFL) and Indian Potash Ltd (IPL) have signed confidentiality agreements with Russian partners for a proposed urea plant that would produce more than two million tonnes a year. The project would tap Russia’s natural gas and ammonia reserves—resources India lacks—and is being positioned as a long-term supply anchor for Indian farmers.

Negotiations are now centred on gas pricing, land allocation and transport logistics. “We are seeing sincerity and alignment on both sides,” a person familiar with the discussions said.

Parallel to these talks, India and the Eurasian Economic Union (EAEU), which includes Russia, have accelerated negotiations on a long-pending Free Trade Agreement. The FTA is expected to lower duties on urea, potash and raw materials, simplify regulatory approvals and customs processes, and support multi-year supply contracts. Officials also see it as important for addressing the widening trade imbalance, driven in part by reduced Indian oil imports but continued large fertiliser purchases from Russia.

Connectivity is another key element of the strategy. India and Russia are pushing for quicker operationalisation of the International North–South Transport Corridor (INSTC) and the Chennai–Vladivostok Maritime Corridor to cut freight costs and shorten transit times for bulk fertiliser shipments. Technical teams have been discussing customs harmonisation, data exchange and logistics synchronisation to ensure smoother movement of consignments.

The deepening cooperation forms part of India’s broader attempt to diversify import sources and stabilise essential farm inputs after two years of global volatility.

With Putin’s visit expected to emphasise trade, connectivity and long-term cooperation, the fertiliser partnership—and the proposed urea plant—are likely to feature prominently in talks. If finalised, the project would be one of the largest India–Russia industrial collaborations in recent years and a significant step in securing agricultural inputs for India’s 140 million farmers.

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