Fertiliser sales likely to moderate in 2nd half of FY21
   Date :01-Sep-2020

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INDIA’S fertiliser sales are likely to grow 10-15 per cent in 2020-21, however, the momentum seen in first half of the fiscal is likely to moderate during the second half, India Ratings and Research (Ind-Ra) said in a report. The momentum witnessed in fertiliser sales so far in 1H (first half) FY21 is unlikely to continue despite healthy water reservoir levels and better monsoon prospects, owing to the likelihood of increase in the COVID-19 spread to rural areas and higher systematic inventory, it said.
 
However, fertiliser sales are likely to grow in the range of 10-15 per cent for the full FY21 as compared to last financial year, supported by the increase in 1H FY21 sales. Sales increased in 1H due to increased sowing and acreage in ongoing kharif season, better labour availability, favourable monsoon prospects for the upcoming rabi season, increase in reservoir levels across key fertiliser consumption areas and better fund availability.