Fertiliser Shares Gain as China Signals Lift on Export Curbs

Shares of Indian fertiliser companies rose sharply on Tuesday following reports that China may remove existing export restrictions on key industrial inputs. This move, tied to China’s Foreign Minister Wang Yi’s visit to India, offers a potential lifeline for sectors facing supply constraints.

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During meetings with External Affairs Minister S. Jaishankar, Wang Yi reportedly assured that China is addressing India’s needs for fertilisers, rare-earth magnets, and tunnel boring machines, CNBC-TV18 cited sources. China has already conveyed that it plans to lift export restrictions on these products, including fertilisers. Moneycontrol was unable to independently verify these developments. 

The market reacted positively, with several fertiliser stocks registering strong gains. Agro Phos India share price surged nearly 5%, hitting its upper trading limit at ₹38.92 per share. Southern Petrochemicals stock price and Zuari Agro Chemicals followed suit, gaining approximately around 4% each. 

Other prominent names also recorded solid upticks. Paradeep Phosphates stock price, Rashtriya Chemicals and Fertilisers (RCF), and Fertilisers and Chemicals Travancore (FACT) rose nearly 3%. Firms such as Gujarat State Fertilisers & Chemicals, Madras Fertilisers, Mangalore Chemicals & Fertilisers, and Chambal Fertilisers gained more than 2%. National Fertilisers rose over 1%. 

China had imposed tight restrictions and slowed export clearances, disrupting the supply of speciality fertilisers to India. The country imports around 80% of its advanced fertiliser requirements—such as water-soluble nutrients, foliar feeds, slow-release variants, and biostimulants—from China. Supply disruptions had raised concerns over agricultural inputs. 

The reported assurance by the Chinese official comes ahead of Prime Minister Narendra Modi’s scheduled visit to China for the Shanghai Cooperation Organisation (SCO) summit. Beijing indicated it remained committed to cordial, mutually beneficial relations with India. 

Conclusion

China’s apparent willingness to lift curbs on fertiliser exports has injected optimism into the Indian fertiliser market. The rally in related stocks reflects market confidence that supply bottlenecks could ease soon. If confirmed, this development would bolster agricultural input stability and ease pressure on the sector.