Govt to import 2 lakh tonnes of urea

The government is seeking to import 200,000 tonnes of granular urea through private suppliers to secure supply and build stocks, amid uncertainty over shipments from the Gulf region due to the Middle East war, according to two notifications issued yesterday.

The development comes two weeks after authorities shut five of Bangladesh’s six urea fertiliser factories amid concerns over gas supply disruptions linked to the US-Israel war on Iran. Tehran has effectively closed the Strait of Hormuz, through which roughly one-fifth of global oil and about one-third of fertiliser trade passes.

Bangladesh requires over 26 lakh tonnes of urea annually and depends on Saudi Arabia, the United Arab Emirates, and Qatar for more than two-thirds of its supply. These countries ship fertiliser, gas, and oil through the Strait of Hormuz.

At the time the factories were shut, the government had a stock of over 468,000 tonnes of urea.

Last week, state agency Bangladesh Chemical Industries Corporation (BCIC) finalised a plan to import 500,000 tonnes of urea fertiliser amid uncertainty, so that it can build stocks and ensure availability of the crop nutrient ahead of the upcoming season of the major rainfed Aman rice crop.

Aman rice, which is grown in a season beginning after June, accounts for 40 percent of the total annual rice crop, estimated at around 4 crore tonnes in the 2024-25 fiscal year.

“We want to complete the procedures of imports before the start of the Aman season. So, we have floated the tenders,” said a top BCIC official, adding that the corporation operates state fertiliser factories and imports urea on behalf of the government to distribute among farmers at subsidised rates.

In its notifications, BCIC sought submission of quotations to purchase the urea -- to be supplied through Chattogram and Mongla ports -- by April 8.

The official said the procurement process needs to start three to four months in advance to complete the import process within the stipulated time.

The peak season for fertiliser demand is November to March, mainly for Boro rice cultivation when Bangladesh uses 60 percent of the crop production input.

Apart from urea, the government also plans to sign a contract with Egypt to import Diammonium Phosphate and Triple Super Phosphate fertilisers.

Contacted by The Daily Star recently, Ahmed Faisal Imam, additional secretary for the fertiliser management and monitoring branch at the agriculture ministry, said the country currently has urea stocks until June, while non-urea fertiliser stocks will last until October. “There is no fertiliser crisis at present.”