China Opens Urea Export Tap, Global Fertiliser Crisis May Ease

China has reopened urea exports amid global fertiliser market pressures. The move has drawn attention from the global agricultural industry, as China is one of the largest fertiliser exporters and plays a crucial role in maintaining international urea supply balance. According to Reuters (Monday, 1 June 2026), the decision comes as the global fertiliser market faces uncertainty due to disruptions in agricultural supply chains and distribution. Reuters reports that the Chinese government has issued new export quotas for urea fertiliser. The policy is seen as Beijing’s effort to help stabilise the global fertiliser market under pressure from international supply disruptions. Two Chinese fertiliser producers confirmed receipt of the export quotas, while several Indian importers have received official notifications regarding China’s resumption of urea exports. The previous restrictions were implemented when domestic fertiliser prices rose, as the government sought to secure supplies for local farmers. The global fertiliser market is currently under significant pressure due to disrupted distribution from the Middle East. Citing the Financial Times, conflicts in the region have caused logistical bottlenecks and increased shipping costs for various commodities, including nitrogen-based fertilisers like urea. Supply disruptions have driven up fertiliser prices in many countries. The turmoil in the fertiliser market stems from trade disruptions through the Strait of Hormuz, one of the world’s most vital shipping routes for energy and industrial raw materials. Global urea fertiliser prices have surged by approximately 70% due to trade and distribution issues, increasing production costs for farmers in nations reliant on imported fertiliser.