India Allows Anhydrous Ammonia Use in Agriculture

India approved the manufacture and use of anhydrous ammonia as a fertiliser for a three-year period on 23 July 2026. Anhydrous ammonia contains 82% nitrogen and is used as a direct nitrogen source in agriculture.

Anhydrous Ammonia as a Fertiliser

Anhydrous ammonia is a gaseous fertiliser that is stored under pressure and injected below the soil surface. It requires specialised applicators, sealed storage systems, and trained handling because it can cause burns and inhalation hazards.

Urea Use and Import Dependence

India produces about 30 million tonnes of urea annually and imports nearly 10 million tonnes to meet domestic demand. Urea remains the most widely used nitrogen fertiliser in India because it is subsidised and easy to apply.

Green Ammonia and Green Urea Plans

The Centre plans to procure 7.24 lakh metric tonnes of Green Ammonia annually under the National Green Hydrogen Mission for Green Urea production. The Department of Fertilizers issued an Expression of Interest for Green Urea plants and held a pre-EOI meeting with industry stakeholders in Noida.

Important Facts for Exams

• Urea is a nitrogen fertiliser with a nitrogen content of about 46%.
• Anhydrous ammonia contains 82% nitrogen and is one of the most concentrated nitrogen fertilisers.
• The National Green Hydrogen Mission was launched by the Government of India to promote green hydrogen and its derivatives.
• Solar Energy Corporation of India is a central public sector enterprise under the Ministry of New and Renewable Energy.

Substitute Fertilisers and Policy Support

A differential subsidy mechanism has been proposed for Green Ammonia procurement, with Solar Energy Corporation of India supplying it at market-linked Grey Ammonia prices and the Department of Fertilizers covering the difference. In May 2026, the Indian Council for Agricultural Research suggested ammonium sulphate as a substitute for urea in rice cultivation.