India Secures $2.5 Billion Savings with Green Ammonia Agreements

India's shift to green ammonia is projected to save $2.5 billion in foreign exchange over a decade, enhancing energy security and reducing fertilizer import dependence. The initiative, backed by agreements involving the Solar Energy Corporation of India and fertilizer companies, aims to operationalize 724,000 tonnes per annum of green ammonia, significantly lowering costs compared to global benchmarks.

Published Mar 31, 2026

India's green ammonia initiative is set to save $2.5 billion over ten years by operationalizing 724,000 tonnes per annum for the fertilizer sector. Agreements with fertilizer companies and the Solar Energy Corporation of India (SECI) have established prices between ₹49.75 to ₹64.74 per kg, well below the global rate of approximately ₹110 per kg.

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These contracts will secure supply for 13 manufacturing units across multiple states and are part of the ₹19,744 crore National Green Hydrogen Mission, which aims for 5 million metric tonnes of green hydrogen production by 2030. The transition to domestically produced green ammonia is expected to mitigate risks associated with global market volatility and enhance supply chain resilience.