Nutrient-based subsidy (NBS)- Rs 60,939 crore subsidy

 

Govt approves Rs 60,939 crore subsidy for P&K fertilizers for April-September

The Union Cabinet has approved nutrient-based subsidy (NBS) rates for Phosphatic and Potassic fertilizers for the Kharif season (from April 1, 2022, to September 30, 2022).

 Briefing media about the Cabinet decision, Information and Broadcasting Minister Anurag Thakur said the Cabinet has approved a subsidy of Rs 60,939 crore on P&K fertilizers for the Kharif season against the subsidy of around Rs 57,150 crore on these nutrients for the entire last fiscal

He said the subsidy on DAP (di-ammonium phosphate) has been increased to Rs 2,501 per bag and the farmers will continue to get the DAP at Rs 1,350 per bag

Thakur said the subsidy on DAP has been increased to 2,501 per bag from 512 per bag in 2020-21.

The minister highlighted that even as the prices of fertilizers have increased sharply in the global markets, the government has ensured that the burden has not increased for the farmers.

The Nutrient Based Subsidy (NBS) Scheme is being implemented since April 2010.

Under the NBS Policy, a fixed rate of subsidy (in Rs per Kg basis) is announced on nutrients namely Nitrogen (N), Phosphate (P), Potash (K) and Sulphur (S) by the government on annual basis

The per Kg subsidy rates on the nutrients N, P, K, and S are converted into per tonne subsidy on the various P&K fertilizers covered under the NBS Policy.

The government is making available fertilisers, namely urea and 24 grades of P&K fertilisers to farmers at subsidised prices through manufacturers/importers.

In the case of urea, the Centre fixes the maximum retail prices and reimburses the difference between the MRP and production cost in form of a subsidy.

 

Source-https://economictimes.indiatimes.com/news/economy/agriculture/govt-approves-rs-60939-crore-subsidy-for-pk-fertilisers-for-april-september/articleshow/91127459.cms