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For its main use as a fertilizer, urea is generally marketed in solid form, either as prills or granules. The advantage of prills is that they can be commonly be produced more cheaply than granules. The technique to produce prills was firmly established in industrial practice long before a satisfactory urea granulation process was commercialized. However, on account of the limited size of particles that can be produced with the desired degree of sphericity and their low crushing and impact strength, the performance of prills during bulk storage, handling and use is generally, with some exceptions, considered inferior to that of granules.

High-quality compound fertilizers containing nitrogen co-granulated with other components such as phosphates have been produced routinely since the beginnings of the modern fertilizer industry, but on account of the low melting point and hygroscopic nature of urea it took courage to apply the same kind of technology to granulate urea on its own.

More than 90% of world industrial production of urea is destined for use as a nitrogen-release fertilizer. Urea has the highest nitrogen content of all solid nitrogenous fertilizers in common use. Therefore, it has the lowest transportation costs per unit of nitrogen nutrient. The standard crop-nutrient rating (NPK rating) of urea is 46-0-0.

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