To curb use of chemical fertilizers, Govt to give nod to PM PRANAM Scheme

Tags: National National News

The central government is preparing to launch a scheme called PM PRANAM to reduce the use of chemical fertilizers by encouraging the states.


  • This new scheme will not have a separate budget and will be funded through savings of existing fertilizer subsidies under schemes run by the Department of Fertilizers.
  • 50 percent of subsidy savings will be passed on as a grant to the state that saves the money.

  • The remaining 30 per cent grant money can be used to reward and encourage farmers, Panchayats, Farmer Producer Organizations and Self Help Groups who are involved in fertilizer use reduction and creating awareness in society.

What is in the proposed PM PRANAM  scheme ?

  • The full name of PM PRANAM is Promotion of Alternative Nutrients for Agriculture Management Scheme.

Aim of the Scheme :

  • to reduce the use of chemical fertilisers

  • Reducing the subsidy burden on chemical fertilisers, which is projected to reach Rs 2.25 lakh crore in 2022-23 - 39 per cent more than last year's figure of Rs 1.62 lakh crore.

  • 70 percent of the grant provided under the scheme can be used for asset creation related to technology adoption of alternative fertilizers and alternative fertilizer production units at village, block and district level.

Fertilizer Manufacturing Sectors :

  • Fertilizer Manufacturing Companies (PSUs) - National Fertilizers Limited, Rashtriya Chemicals and Fertilizers Limited

  • Fertilizer Manufacturing Cooperatives - IFFCO, KRIBHCO

  • Decision Making Body - Department of Fertilizers, Ministry of Chemicals and Fertilizers, Govt of India

  • Position of india in the World - Third in terms of production and second in terms of consumption

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