China Halts Urea Exports: What It Means for Fertilizer and Feed Grain Costs

China is halting urea exports. China normally ships about 5 to 5.5 million tonnes of urea a year, making it one of the world's largest suppliers.

A slow half, then a surge. Exports were only about 0.5 million tonnes in the first half, then jumped sharply in one month after a much larger approved volume.

Now the window is closing. Shipments are being halted as northern hemisphere spring approaches, a point when China has previously closed its export window.

Importers feel it first. India fell well short in its last tender. Losing a major supplier as spring demand builds tightens global nitrogen supply.

Why feed buyers should watch. Urea is a key input for corn and other feed grains. Tighter supply supports urea prices and raises growers' input costs.