The Union Cabinet has given its nod to the proposal put forth by the Department of Fertilizers. This approval pertains to the fixation of Nutrient Based Subsidy (NBS) rates for the Kharif Season of 2024, spanning from April 1st, 2024, to September 30th, 2024, specifically focusing on Phosphatic and Potassic (P&K) fertilizers. Additionally, the Cabinet has greenlit the inclusion of three new fertilizer grades under the NBS scheme.
With an estimated budgetary requirement of approximately Rs. 24,420 crore for the Kharif season of 2024, this decision underscores the government’s commitment to ensuring the availability of fertilizers to farmers at subsidized, affordable, and reasonable prices. The move also aims at rationalizing subsidies on P&K fertilizers in response to recent trends in international fertilizer prices and inputs.
The inclusion of three new fertilizer grades under the NBS scheme is poised to bolster efforts in promoting balanced soil health. It provides farmers with alternatives to choose fertilizers fortified with micro-nutrients tailored to their specific soil requirements. This strategic move aligns with the government’s broader vision of empowering farmers with the tools and resources necessary for optimizing agricultural productivity sustainably.
Under the implementation strategy and targets set forth by the government, the subsidy on P&K fertilizers will be provided based on the approved rates for the Kharif 2024 season. This measure aims to ensure the smooth availability of fertilizers to farmers at affordable prices, thereby facilitating their agricultural operations.
Currently, the government is facilitating the availability of 25 grades of P&K fertilizers to farmers at subsidized prices through fertilizer manufacturers/importers. The subsidy on P&K fertilizers has been governed by the NBS Scheme since April 1st, 2010. The government’s farmer-friendly approach underscores its commitment to ensuring the availability of P&K fertilizers at affordable prices.
Given the recent trends in international fertilizer and input prices, including Urea, DAP, MOP, and Sulphur, the decision to approve NBS rates for Kharif 2024, effective from April 1st, 2024, to September 30th, 2024, on Phosphatic and Potassic (P&K) fertilizers is both timely and crucial. Furthermore, the decision to include three new fertilizer grades under the NBS scheme underscores the government’s proactive stance towards promoting sustainable agricultural practices and enhancing farmers’ access to vital agricultural inputs.