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Govt approves subsidy of Rs 60,939.23 crore for P K fertilisers for April- September period

28 Apr 2022 Evaluate

In an efforts to provide soil nutrients to farmers at an affordable price, the government has approved a subsidy of Rs 60,939.23 crore for phosphatic and potassic fertilisers, including Di-Ammonium Phosphate (DAP), for the first six months of this fiscal.

The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the proposal for Nutrient Based Subsidy (NBS) rates for Phosphatic and Potassic (P&K) fertilisers for Kharif Season, which is from April 1 to September 30. Subsidy approved by the Cabinet for the NBS Kharif-2022 will be Rs 60,939.23 crore, including support for indigenous fertiliser (SSP) through freight subsidy and additional support for indigenous manufacturing and imports of DAP.

The increase in the international prices of DAP and its raw materials have been primarily absorbed by the Union government. The government is making available fertilisers, namely urea and 25 grades of P&K fertilisers to farmers at subsidised prices through fertiliser manufacturers/importers. In view of the steep increase in the international prices of fertilisers and inputs i.e. urea, DAP, MOP and sulphur, the government has decided to absorb the increased prices by increasing subsidy on P&K fertilisers, including DAP.

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