After imposing restrictions on rare earth magnets, China has now implemented limitations on the supply of key water-soluble fertilizer (WSF) ingredients, affecting India's horticulture sector. WSFs, which are easily absorbed by plants, are applied using drip irrigation, sprinklers, or foliar spray to deliver nutrients directly to plants, bypassing the soil.
This restriction potentially undermines India's horticulture industry, an economic segment larger than the country's grain sector and contributing about one-third to the agricultural GDP. Affected crops include grapes, pomegranates, and bananas, as well as polyhouse farming operations focused on exporting exotic fruits and vegetables.
In recent months, China has used the China Inspection Quarantine (CIQ) mechanism, described as an opaque inspection delay tactic, leading to a sharp reduction in essential ingredient supplies such as Mono Ammonium Phosphate (MAP), Calcium Nitrate (CN), and Potassium Nitrate (PN). Around 80% of India's specialty fertilizer imports during peak seasons originate from China; however, recent data indicates a steep decline.
For example, the import of MAP was 12,525 MT in 2023 and 21,214 MT in 2024, plummeting to 2,842 MT by June 1. Similarly, CN imports dropped from 223,941 MT in 2023 to 49,311 MT by June 2025. PN imports decreased from 27,913 MT in 2024 to 16,837 MT.
"China has put a soft blockade through CIQ, which unofficially banned India while continuing to supply it to other countries," said Vinod Goyal, Secretary of the Soluble Fertiliser Industry Association (SFIA).
India sources over 80% of its required 4 lakh metric tonnes (LMT) from China due to the quality and price advantages compared to suppliers in the Middle East and Russia. Lalitkumar Periwal, a WSF manufacturer in Gujarat, stated India has only two months of stock. He stressed the need for policy changes, like removing WSF from the Essential Commodities Act, to boost local production.
Goyal highlighted current policy disparities, which favor imports from China while hindering local manufacturers, as domestic products face multiple license requirements across states, unlike imported Chinese products that are more easily distributed.
India imports ingredients for WSF primarily from specific countries: MAP from China, Russia, and Korea; Calcium Nitrate from China and Russia; Mono Potassium Phosphate from China; Potassium Nitrate from China, Chile, and Jordan; Potassium Sulphate from China, Egypt, Taiwan, Uzbekistan, and KSA; Boronated Calcium Nitrate from China.
Source: New Indian Express