China to Reimpose Ban on Export of Specialty Fertilizers from October

On August 31, China announced that it will reimpose export restrictions on specialty fertilizers starting in October, a move expected to raise prices and directly impact farmers worldwide. Although India has developed indigenous water-soluble fertilizer technology, global sourcing companies are still struggling to secure a stable supply.

The temporary relaxation in Chinese exports offered some relief, but it is likely to be short-lived. A senior official revealed that Beijing plans to tighten control by increasing inspections and delaying shipments, thereby indirectly curbing exports.

India Develops Indigenous Technology

After seven years of research, India has successfully developed its first indigenous water-soluble fertilizer technology. This innovation has the potential to position India as a leader in the field of specialty fertilizers.

Rajeev Chakravarty, President of the Soluble Fertilizer Industry Association (SFIA), stated in an interview, "This is a temporary solution because China is shutting down exports from October—not just to India, but to the entire global market."

India-China Issues Temporarily Resolved

While tensions between India and China have eased, new restrictions are expected to begin again. Chakravarty added, "Once China starts restricting supply, it never fully stops. They impose inspections and delay shipments, making the process difficult. This cycle is expected to restart in October."

Indian companies producing specialty fertilizers are working hard to secure enough inventory before the ban is reintroduced. Global sourcing firms are operating with extended hours to meet pre-ban requirements.

Price Surge Likely

The industry expects that domestic supply may stabilize by mid-season, potentially resolving some supply constraints. However, controlling the surge in prices is expected to be challenging.