As of April 2025, urea prices have exhibited varied trends across global markets, influenced by factors such as supply-demand dynamics, government policies, and seasonal agricultural activities.
India: Stable Domestic Prices Amid Strategic Import Decisions
In India, urea prices have remained stable, primarily due to the government's fixed Maximum Retail Price (MRP) policy. The MRP is set at ₹268 for a 50 kg bag and ₹242 for a 45 kg bag, exclusive of taxes and neem coating charges. This pricing strategy ensures affordability for farmers and maintains market equilibrium.
The Indian government's strategic approach to urea imports has also impacted global prices. In a recent tender, India secured approximately 900,000 tonnes of urea, falling short of the anticipated 1.5 million tonnes. This shortfall has contributed to a subdued global demand, exerting downward pressure on international urea prices.
Global Market: Mixed Trends Influenced by Regional Factors
Asia-Pacific: In Malaysia, urea prices experienced a slight decline due to balanced supply-demand conditions and sufficient domestic production. However, a proposed 30% increase in port tariffs may affect future pricing and export competitiveness.
Get Real-time Urea Prices: https://www.chemanalyst.com/Pricing-data/urea-1190
Middle East and Russia: Urea prices in the Middle East have shown variability, with offers ranging between USD 400 to 440 per tonne FOB. In Russia, export quotas have been extended until May 31, 2025, to ensure domestic availability, leading to stable prices in the region.
North America: In the United States, urea prices have remained steady, supported by adequate inventory levels. However, new tariffs on imported urea have led to price increases, with April barge prices at New Orleans (NOLA) reaching USD 410 per short ton, marking the highest since September 2023.
Price Index Overview
As per recent data, global urea prices are as follows:
Global Average: USD 0.33 per kg
North America: USD 0.36 per kg
Europe: USD 0.37 per kg
Africa: USD 0.42 per kg
Northeast Asia: USD 0.27 per kg (3.8% increase)
Middle East: USD 0.51 per kg
Outlook: Anticipated Trends and Influencing Factors
Looking ahead, urea prices are expected to be influenced by several key factors:
Seasonal Demand: The upcoming planting seasons in various regions may lead to increased demand for urea, potentially driving prices upward.
Government Policies: Decisions regarding import tenders and export quotas, especially by major players like India and Russia, will significantly impact global supply and pricing.
Energy Costs: As natural gas is a primary feedstock for urea production, fluctuations in energy prices will affect production costs and, consequently, market prices.
Stakeholders in the agricultural and fertilizer sectors should monitor these developments closely to navigate the evolving urea market effectively.
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