The One Nation One Fertiliser scheme

Tags: Government Schemes

The Ministry of Chemicals and Fertilizers has announced that the One Nation One Fertilizer (ONOF) scheme will be implemented from October 2.

IMPORTANT FACTS -

• The Government is introducing a “Single Brand for Fertilisers and Logo” under the fertiliser subsidy scheme named “Pradhanmantri Bhartiya Janurvarak Pariyojna” (PMBJP).

• As part of the initiative, crop nutrients -- urea, di-ammonium phosphate (DAP) or muriate of potash (MOP) will be sold under a single brand name, ‘Bharat’.

• The ministry has issued directions to all companies to use the new brand name 'Bharat' and logo of the subsidy scheme on the bags.

What is One Nation One Fertiliser Scheme?

• Under this scheme, all the fertilizer companies of the country will have to sell their products under the brand name of 'Bharat'.

• Companies have been allowed to display their name, brand, logo and other relevant product information on only one-third of their bags.

• The remaining two-thirds will have the "Bharat" brand and the Prime Minister Bhartiya Jan Fertilizer Project logo on it.

• The scheme will be applicable to both public and private sector companies.

Why is the government introducing this scheme?

• The maximum retail price of urea is fixed by the government, which also compensates companies for the high cost of manufacturing or importing it.

• The government also decides where they can sell. This is done through the Fertilizers (Movement) Control Order, 1973.

• So, when the government is spending huge amounts on fertilizer subsidies, it wants to take credit and send this message to the farmers.

Criticism of the Scheme

• This will hinder the fertilizer companies in undertaking marketing and brand promotion activities.

• They will now be restricted to contract manufacturers and importers for the government.

• Opposition parties criticized the 'One Nation One Fertilizer' initiative as an exercise of self-promotion.