IPL Floats Tender for 17 Lakh Tonnes of Urea, Sets December 1 Shipment Deadline

Indian Potash Limited (IPL) has invited bids for the import of 17 lakh tonnes of prilled or granular urea in bulk for fertiliser use, with 10 lakh tonnes earmarked for ports on the West Coast of India and 7 lakh tonnes for the East Coast. The tender has been issued on behalf of the Department of Fertilizers, Ministry of Chemicals and Fertilizers, Government of India.

As per the tender document, urea must conform to fertiliser-grade specifications, with minimum nitrogen content of 46 percent. The material can be offered either as prilled or granular urea, but a single vessel cannot carry a combination of the two forms.

IPL floated this tender on September 23, 2026. However, through Amendment No. 1 issued on the same date, it advanced the latest permissible sailing date for the contracted quantity from December 15, 2026 to December 1, 2026. 

Bidders have to submit their offers electronically by 11:30 am on October 7, 2026. The techno-commercial bids are scheduled to open at noon on the same day, followed by opening of price bids of qualifying bidders at 12:30 pm. Offers have to remain valid until 8 pm on October 15, while the bid bond is required to remain valid until December 14.

The tender permits procurement on both FOBT and CFR FO terms. Producers classified under Category I can submit FOB offers, while Category II and Category III bidders are required to quote both FOB and CFR prices. IPL will evaluate bids separately for the East and West coasts and may distribute the required quantities among multiple suppliers based on the bid hierarchy and port-wise requirements.

The tender also specifies financial security requirements. Producers are exempt from bid bonds, while accredited suppliers must furnish a bid bond of US $3 per tonne and other eligible bidders US $10 per tonne. Successful bidders will have to provide performance guarantees ranging from 1 percent to 10 percent of the contract value, depending on their category.

IPL has made timely shipment a firm contractual requirement. Delays can attract liquidated damages, sourcing of replacement material at the supplier’s risk and cost, cancellation of the contract and forfeiture of the performance guarantee, subject to the tender conditions.

The imported urea will also be subject to quality and quantity checks at the discharge port, with the final weight determined through joint draft survey and quality assessed through independent inspection agencies or the Central Fertilizer Quality Control and Training Institute, Faridabad, or its regional laboratories.