Aerial view of a harvester working in a green maize field

Urea in Agriculture: Uses, Types, Price and Benefits (2026)

Urea is the most widely used nitrogen fertilizer in agriculture. It contains 46% nitrogen, the nutrient that drives leaf and stem growth, so it is used on almost every major crop: rice, wheat, maize, sugarcane and vegetables.

Whether you farm a few acres or manage a large estate, urea is probably part of your season. Used well, it is one of the cheapest ways to grow a bigger crop. Used badly, it wastes money and harms the soil. This guide covers the types of urea, how to apply it, what it costs and what to watch out for.

What is urea in agriculture?

Urea is a white solid with the formula CO(NH2)2. In the soil, it converts to ammonium and then nitrate, which plants take up as nitrogen. Because it is so concentrated, farmers handle and store less product for the same amount of nitrogen. Learn more about nitrogen fertilizer and urea fertilizer.

Why urea matters to farmers

  • High nitrogen: 46%, more than any other common solid fertilizer
  • Low cost per kilo of nitrogen: usually the cheapest nitrogen source
  • Works on most crops and soils
  • Easy to store and spread
  • Fast response: crops often green up within days of application

Types of urea used in farming

TypeWhat it isGood to know
Granular ureaLarger, harder particlesSpreads evenly, the most common form in world trade
Prilled ureaSmaller round beads formed in a prilling towerDissolves quickly, common in local markets
Coated ureaGranules coated with sulphur, polymer or neemReleases nitrogen more slowly and reduces losses; all fertilizer urea in India is neem-coated
Nano ureaA liquid nitrogen product sprayed on leavesUsed in small doses alongside regular urea; results vary by crop and conditions
For a closer comparison, see liquid vs granular urea.

How to apply urea

The biggest losses happen when urea sits on the soil surface. These habits make it work harder:

  • Work it in or water it in. Mix it into the soil or apply just before rain or irrigation.
  • Split the dose. For example, part at sowing and the rest during active growth.
  • Avoid wet leaves. Granules sticking to dew-covered leaves can scorch them.
  • Match the rate to the crop. As a rough guide, most field crops use 50 to 80 kg of urea per acre and paddy 75 to 100 kg. Sugarcane needs more, often 150 to 200 kg per acre over the season.

For step-by-step advice, read how to use urea as fertilizer.

Aerial view of a harvester working in a green maize field
Urea is applied to cereals and maize during active growth.

Urea price in 2026

  • India: the government fixes the maximum retail price at ₹242 per 45 kg bag of neem-coated urea, excluding neem coating charges and taxes. India no longer sells 50 kg bags.
  • World market: the World Bank benchmark (granular urea, FOB Middle East) averaged $407.50 per tonne in September 2026.

See the full urea price guide for per kg and per bag figures.

Benefits and drawbacks of urea

BenefitsDrawbacks if misused
Highest nitrogen of any common solid fertilizerNitrogen lost to the air if left on the surface
Low cost per kilo of nitrogenOveruse makes soil more acidic over time
Quick crop responseExcess nitrate can leach into groundwater
Suits most crops and soilsToo much can burn roots and seedlings
Long shelf life when kept dryAbsorbs moisture and cakes in damp storage

The fix for almost every drawback is the same: apply the right amount at the right time, based on a soil test.

What is nano urea?

Nano urea is a liquid nitrogen fertilizer developed in India by IFFCO. It is sprayed on the leaves in small doses, usually alongside a reduced amount of granular urea. The idea is to cut the amount of bagged urea a farmer needs. Field results have been mixed, so follow local agronomic advice on how much granular urea it can replace on your crop.

HS code for agricultural urea

For trade and customs, fertilizer urea falls under HS code 3102.10 (urea, whether or not in aqueous solution). India’s 8-digit code is 3102 10 00.

Buying urea in bulk

Agromer trades urea with major refineries on spot and contract terms for importers, distributors and industrial buyers. Offers are issued against an end-buyer Letter of Intent with the grade, quantity, packaging and destination. See urea N46 for grades.

Before you send: Agromer trades with businesses only, in bulk shipments. We do not supply retail or small farm quantities. Payment is by irrevocable documentary letter of credit (DLC) or SBLC. For urea, coal and petroleum products, an end-buyer Letter of Intent is needed before an offer is issued.
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Frequently asked questions

Is urea good for all crops?

Urea suits most crops, including rice, wheat, maize, sugarcane and vegetables. The rate and timing should match the crop and your soil test.

How much urea should I use per acre?

As a rough guide, 50 to 80 kg per acre for most field crops and 75 to 100 kg for paddy, usually split into two or three doses. A soil test gives the right figure for your field.

Can urea harm plants?

Yes, if you use too much or let granules sit on wet leaves. Overuse can also acidify soil and pollute groundwater.

What is the price of a urea bag in India?

The maximum retail price is ₹242 per 45 kg bag of neem-coated urea, excluding neem coating charges and taxes.

What is nano urea used for?

It is a liquid nitrogen fertilizer sprayed on leaves, used alongside a reduced amount of granular urea.

Why is urea so popular in India?

It is cheap, widely available and subsidised by the government, and it works well on India’s main crops, such as rice and wheat.