Government's Fertiliser Subsidy Strategy to Support Farmers

The Indian government provided Rs 49,330 crore in fertiliser subsidies by July of the fiscal year to aid farmers in accessing nutrients affordably. The subsidy supports domestic and imported urea, with a focus on Direct Benefit transfers to ensure fair distribution and pricing, enhancing agricultural productivity.

The Indian government has disbursed Rs 49,330 crore in fertiliser subsidies by July of the current fiscal year, according to Minister of State for Chemicals and Fertilisers, Anupriya Patel. This subsidy aims to maintain the affordability of essential nutrients for the agricultural sector.

A significant portion of the subsidy, Rs 30,940.82 crore, has been allocated for domestic urea, along with Rs 4,006.70 crore set aside for imported urea. The government continues to uphold the 'Direct Benefit Transfer in Fertilizers' system to accurately deliver subsidies based on Aadhaar-authenticated sales to farmers.

Urea production has risen notably, from 225 lakh tonnes in 2014-15 to a record 314.07 lakh tonnes in 2023-24. The government provides urea at Rs 242 per 45 kg bag, with the ongoing Nutrient Based Subsidy policy defining subsidies for phosphatic and potassic fertilizers since 2010.

(With inputs from agencies.)