Govt approves Rs 60,939 crore subsidy for phosphate-based fertilisers

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The Union Cabinet has approved nutrient based subsidy rates for Phosphatic and Potash, P&K fertilisers for Kharif season-2022.

• The subsidy will cover the period to September 2022.

• India provided a subsidy of 571.5 billion rupees for the previous 12 month period ending March 31.

• A subsidy of Rs 2,501 will continue to be available at Rs 1,350 for every 50 kg bag of crop nutrient diammonium phosphate in local markets.

• The decision to increase fertiliser subsidies was taken after rising crop nutrient prices in global markets, mainly due to supply chain disruptions after Russia's invasion of Ukraine, increased freight traffic and rising energy costs.

• Background

• Government is providing Urea and 25 grade P&K fertilisers at subsidised prices to the farmers through fertiliser manufacturers/importers.

• The subsidy on P&K fertilisers is being governed by the NBS Scheme. 

• In line with its farmer friendly approach, the Government is committed to ensure the availability of P&K fertilisers to the farmers at affordable prices.