New Delhi, July 15 -- Last week, three Indian fertilizer firms signed a long-term supply contract with a Saudi Arabian firm for diammonium phosphate (DAP)-a critical crop nutrient. Mint looks at the significance of this deal and what India is doing to ensure enough supplies of fertilizers.

No. According to official data, India, at an overall level, produces about 84% of the total fertilizer it consumes. A deeper look at the numbers reveals the true picture. For urea, domestic production accounts for 77% of the nation's demand. In the case of NPK (nitrogen-phosphorus-potassium) fertilizers, it is 84%. But when it comes to DAP, the second-most used crop nutrient after urea, the local production covers just 40% of the 10-million-tonne annua...