Centre to provide Rs 37K crore for fertiliser subsidies in kharif season

The Union Cabinet, chaired by Prime Minister Narendra Modi, on Friday approved the proposal of the Department of Fertilizers for fixing the Nutrient Based Subsidy (NBS) rates for kharif season-2025 (which is from April 1 to September 30) on phosphatic and potassic (P&K) fertilisers.

The budgetary requirement for kharif season would be approximately Rs 37,216.15 crore. This is Rs 13,000 crore more than the budgetary requirement for Rabi season, 2024-25.

The move will ensure availability of fertilisers to farmers at subsidised, affordable and reasonable prices and rationalisation of subsidy on P&K fertilizers, in view of recent trends in the international prices of fertilisers and inputs.

The subsidy on P&K fertilizers, including NPKS grades, will be provided based on approved rates for Kharif-2025 to ensure smooth availability of these fertilizers to the farmers at affordable prices.

At present, the government is making available 28 grades of P&K fertilisers to farmers at subsidised prices through fertiliser manufacturers/importers.

The subsidy on P&K fertilizers is governed by a scheme, which commenced on April 1, 2010. Since then P&K fertilizers are being given to farmers at affordable prices.

In view of the recent trends in the international prices of fertilisers and inputs -- urea, DAP, MOP and Sulphur -- the government also decided to approve the Nutrient Based Subsidy rates for Kharif, which would be effective from April 1 to September 30.

The subsidy would be provided to the fertilizer companies as per the approved and notified rates so that fertilisers are made available to farmers at affordable prices.