Despite sharp fluctuation in raw material prices in the recent past, fertiliser demand has shown resilience because of policy interventions.
While urea sells the most, increasing usage of complex fertilisers is key to promoting balanced use of nutrients and preventing soil degradation.
Both segments have reliance on government subsidies. The quantum and timeliness of subsidies have been adequate in the past couple of years, supporting the credit profiles of fertiliser makers.
On the supply side, the government has been emphasising self-sufficiency, which has led to capacity additions, largely in urea, under the aegis of the New Investment Policy, 2012. The use of nano fertilisers has potential to reduce imports, though mass adoption and efficacy remains to be seen.
To discuss these aspects and more, Crisil Ratings is organising a webinar on Thursday, August 01, 2024, where its experts would delve into:
Outlook on domestic fertiliser demand
Profitability of fertiliser makers amid policy changes
Disclaimer: This event and its content are intellectual property and confidential information of Crisil. Any use of the same without written permission of Crisil is illegal and hence punishable. Recording the webinar in any form in full or part or copying, altering, distributing or streaming the webinar is strictly prohibited and violation will attract legal action.
