In a significant move aimed at supporting agriculture and ensuring the availability of essential nutrients for crops, the Union Cabinet, chaired by Prime Minister Modi, has granted approval for a substantial subsidy of ₹24,420 crore on phosphatic and potassic (P&K) fertilisers for the upcoming kharif season of 2024.
The decision also includes the fixing of nutrient-based subsidy (NBS) rates for P&K fertilisers and the addition of three new fertiliser grades under the NBS scheme.
The subsidy, effective from April 1, 2024, to September 30, 2024, will play a crucial role in maintaining stable prices for key soil nutrient DAP (di-ammonium phosphate), with farmers continuing to access it at the rate of ₹1,350 per quintal.
I&B Minister Anurag Thakur, briefing reporters, highlighted that the nutrient-based subsidy encompasses various components: ₹47.02 per kg for nitrogen (N), ₹28.72 per kg for phosphatic (P), ₹2.38 per kg for potassic (K), and ₹1.89 per kg for sulphur (S) for the 2024 kharif season.
The subsidy on phosphatic fertilisers has seen an increase to ₹28.72 per kg for the upcoming kharif season from ₹20.82 per kg in the preceding 2023 rabi season. However, the subsidy rates for nitrogen, potassic, and sulphur remain unchanged for the 2024 kharif season.
Anurag Thakur emphasised that this subsidy ensures the stability of retail prices for major P&K fertilisers, assuring farmers that DAP, currently priced at ₹1,350 per bag (50 kg), will continue to be available at the same rate in the upcoming kharif season. Muriate of potash (MoP) will also be maintained at ₹1,670 per bag, while NPK will be available at ₹1,470 per bag.
To reduce import dependence on DAP, the Cabinet has approved the inclusion of three new fertiliser grades under the NBS scheme. The subsidy will be provided to fertiliser companies at approved and notified rates, facilitating the availability of fertilisers to farmers at affordable prices.
The government is making available 25 grades of P&K fertilisers to farmers at subsidised prices through fertiliser manufacturers/importers. The subsidy on P&K fertilisers is governed by the NBS scheme since 2010.
According to official data, the government has allocated nearly ₹1.71 lakh crore as fertiliser subsidy till January in the current fiscal year. For the 2024-25 fiscal year, a fertiliser subsidy of ₹1.64 lakh crore has been allocated, reflecting the government's dedication to supporting agriculture and ensuring soil health.
With inputs from agency
(Edited by : Shoma Bhattacharjee)
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