India's Agri-Resilience Key Amidst Global Tensions

The escalating US-Iran conflict and associated energy volatility underscore India's significant reliance on imported fertilizer raw materials and global supply chains. This geopolitical environment necessitates a robust strengthening of India's agricultural resilience, according to Komal Shah Bhukhanwala, executive director of SML Limited.

The Indian government can bolster the sector by promoting high-nutrient-use-efficiency (NUE) fertilizers and advanced nutrient technologies. These innovations can decrease dependence on bulk fertilizers by 25-50 percent, improve nutrient delivery, conserve resources, and cultivate a more self-sustaining agricultural ecosystem.

Bhukhanwala noted that while the US-Iran conflict has caused manageable impacts for SML, including increased logistics costs and market volatility, the company continues to provide farmers with steady supplies. This ensures improved yields and stronger returns on investment, even amidst disruptions in bulk fertilizer availability.

SML Limited, established in 1960 and headquartered in Mumbai, is a global leader in innovative agricultural solutions operating in over 80 countries. The company is committed to transforming agriculture through advanced crop protection, crop nutrition, and biological solutions, aiming to reduce dependence on imported inputs through 'Make in India' manufacturing.

With an annual group turnover of ₹2,200 crore, SML is a world leader in water-dispersible granule (WDG) formulations, holding over 950 patents. The company is also among the few global agrochemical firms to introduce its own new chemical entity, reinforcing its focus on innovation and efficiency in agricultural inputs.

Bhukhanwala highlighted a global shift towards reducing bulk nitrogen-based and phosphatic fertilizers, with an increasing awareness driving international collaborations. Companies prioritizing innovation, sustainability, and farmer-centric solutions are poised to lead the next growth phase in global agriculture.

Exports constitute a strong pillar for SML, contributing over 55 percent of its annual turnover. Despite global uncertainties, demand in key international markets remains stable. The company plans to continue expanding its global presence, introducing innovative technologies, strengthening R&D, and investing further in sustainable agricultural solutions during the current fiscal year.

The US-Iran conflict has exposed the vulnerability of global supply chains for energy, shipping, and fertilizer raw materials. SML effectively managed temporary logistical challenges and increased freight costs through a diversified sourcing strategy and robust supply chain planning, balancing domestic and international suppliers.