Subsidy to be given on fertilizers in the year 2021-22
The prices of P-and-K fertilizers are increasing continuously in the international market, due to which the price of P-and-K based fertilizers was increased in India too. The Central Government has fixed nutrient based subsidy on various P-&K fertilizers to control the rising prices of fertilizers and to make them available at low rates to the farmers. This subsidy is currently only for Kharif season. Due to which at present farmers have got relief in the prices of increased fertilizers.
The Government of India ensures the availability of fertilizers, especially urea and 22 grades of P-&K fertilizers, including DAP. These fertilizers are given to the fertilizer manufacturers/importers on subsidy basis to the farmers. Subsidy on P-&K fertilizers is given on the basis of NBS scheme. This subsidy will be released to fertilizer companies at NBS rates so that farmers can get fertilizers at affordable prices.
How much subsidy will the government give this year?
The central government is already giving subsidy on DAP fertilizer at Rs 1200 per 50 kg packet , which is Rs 24 per kg. Now the government has fixed the subsidy on other chemical fertilizers for the year 2021-22. This subsidy is as follows:-
- Nitrogen N – Rs 18.789 per kg
- Phosphorus P – Rs 45.323 per kg
- Potash K – Rs 10.116 per kg
- Sulfur S – Rs 2.374 per kg
Requirement and production of fertilizers in the country
Nitrogen, potash and phosphorus are needed to increase the production of crops and increase the amount of nutrients in the soil. For this, the government provides fertilizers to the farmers according to the need. While answering a question in Parliament on March 16, 2021, by the Union Minister of Chemicals and Fertilizers, it was informed that how much fertilizer is consumed and produced in the country in the year 2019-20, according to which-
The demand for urea in the year 2019 is 33.526 million metric tonnes. Similarly, DAP 10.330 million metric tonne, NPK 10.482 million metric tonne and MOP 3.812 million metric ton are required. Due to less production according to the demand, the central government imports various types of fertilizers.
Production and import of fertilizers
The total production of urea in the year 2019-20 was 24.455 million metric tonnes, while the production of DAP stood at 4.550 million metric tonnes. Similarly, the production of NPK has been 9.334 million metric tonnes. To meet this, the government had imported 9.123 million metric tons of urea and 4.87 million metric tons of DAP. Similarly, the import of NPK was done at 0.746 million metric tonnes and that of MOP was 3.67 million metric tonnes.