Centre approves Rs 1.08-lakh Cr subsidy for fertilisers for Kharif Season 2023-24

The Cabinet has approved Rs 70,000 crore subsidy for urea and Rs 38,000 crore for DAP and other fertilisers for Kharif Season 2023-24.

The Union Cabinet has approved a Rs 1.08 lakh crore for the fertiliser subsidy for the 2023-24 Kharif season, to ensure the availability of fertilisers to farmers at subsidised, affordable, and reasonable prices.

“The Cabinet has approved Rs 70,000 crore subsidy for urea and Rs 38,000 crore for DAP and other fertilisers. A total of Rs 1.08 lakh crore will be spent on fertiliser subsidy for the Kharif season (April-September”, said Mansukh Mandaviya Union Fertiliser Minister.

Currently, the price of urea is Rs 276 per bag and the price of DAP is Rs 1,350 per bag. The subsidy is likely to benefit around 12 crore farmers.

In a press release, the government said that the Union Cabinet chaired by Prime Minister Narendra Modi has approved the proposal of the Department of Fertilisers for revision in Nutrient Based Subsidy (NBS) rates for various nutrients i.e., Nitrogen (N), Phosphorus (P), Potash (K) and Sulphur (S) for Rabi Season 2022-23 and approved NBS rates for Kharif Season, 2023 for Phosphatic and Potassic (P&K) fertilizers.

The Subsidy on P&K fertilisers is governed by NBS Scheme. The government has approved a revision in the NBS rates for Rabi 2022-2023 effective from January 1, 2023, to March 31, 2023, and approved the NBS rates for Kharif, 2023 (from April 1, 2023, to September 30, 2023) to make available 25 grades of Phosphatic and Potassic (P&K) fertilisers to farmers at subsidised prices, the statement added.

The Cabinet has approved Rs 70,000 crore