Fertiliser Stocks Slip: FACT, Coromandel Share Price Falls After China’s Export Block

Market Performance

Indian equity markets continued their upward momentum for the third consecutive session on June 26, 2025.

• Nifty 50 surged by 1.21%, closing at 25,549
• BSE Sensex gained 1.21%, ending the day at 83,755.87
• The indexes are now about 3% below their all-time highs from September 2024

Despite this broader bullish trend, the fertilizer sector bucked the positive market sentiment.

Main News: FACT, Coromandel Share Price Under Pressure

Fertilizer stocks came under significant pressure following reports that China has halted exports of specialty fertilizers to India due to procedural restrictions.

• FACT (Fertilizers and Chemicals Travancore) stock dropped by 7% on June 26
• Coromandel International, Mangalore Chemicals & Fertilizers, and Paradeep Phosphates each fell by 3%
• Gujarat State Fertilizers & Chemicals Ltd (GSFC) declined by 1.4%
• Zuari Agro Chemicals Ltd lost around 1.27%

The decline in share price is notable, as it has slipped 11% over the past 12 sessions.

Additionally, Rashtriya Chemicals recorded a nearly 4% drop over the same period.

Company Details and Sector Context

India relies heavily on imports for high-efficiency specialty fertilizers. These include:

• Water-soluble nutrients
• Liquid foliar feeds
• Slow- and controlled-release fertilizers
• Bio-stimulants

Key facts:

• India imports around 150,000–160,000 tonnes of these fertilizers from June to December every year
• China accounts for nearly 80% of these imports, making it the dominant supplier

Industry reports indicate that Chinese authorities are not conducting mandatory inspections on shipments bound for India, effectively halting exports without an official ban.

This has triggered concerns within India's fertilizer sector, impacting stock performance across the board.

Summary of the Article

• Despite a strong rally in Indian equity benchmarks, fertilizer stocks faced sharp declines
• FACT share price fell the most, slipping 7% intraday, while Coromandel share price dropped 3%
• The dip follows reports that China has informally blocked exports of specialty fertilizers to India
• India's high dependency—80%—on Chinese fertilizer imports has raised supply chain concerns
• Stocks like Mangalore Chemicals, Paradeep Phosphates, and GSFC were also impacted

The sharp movement in these fertilizer stocks highlights the vulnerability of the Indian agrochemical sector to global trade dependencies, particularly with China.