Lok Sabha Question No. 2080 (UNSTARRED), answered on 2021-12-10
Subject: NBS Rates for Fertilizers
Ministry: CHEMICALS AND FERTILIZERS
Asked by: Vinod Kumar Sonkar, Sukanta Majumdar, Jayanta Kumar Roy, Sangeeta Kumari Singh Deo, Bhola Singh, Raja Amareshwara Naik

## GOVERNMENT OF INDIA MINISTRY OF CHEMICALS AND FERTILIZERS DEPARTMENT OF FERTILIZERS

## LOK SABHA

UNSTARRED QUESTION NO. 2080 TO BE ANSWERED ON: 10.12.2021

## NBS Rates for fertilizers

2080. SHRI VINOD KUMAR SONKAR:

DR; SUKANTA MAJUMDAR:

DR: JAYANTA KUMAR ROY:

SHRIMATI SANGEETA KUMARI SINGH DEO:

SHRI BHOLA SINGH:

SHRI RAJA AMARESHWARA NAIK:

## Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

- (a) whether the Government has approved the fixation of Nutrient Based Subsidy (NBS) rates for Phosphatic& Potassic (PK) Fertilizers for the year 2021-22;
- (c) whether the Government has also approved the inclusion of Potash derived from molasses under the NBS Scheme;
- (b) if so, the details thereof;
- (d) if so, the details thereof; and
- (e) the other steps being taken by the Government in this regard?

## ANSWER

## MINISTER OF HEALTH & FAMILY WELFARE AND CHEMICALS & FERTILIZERS , (DR. MANSUKH MANDAVIYA)

- (a) Yes, Sir, Government of India has approved and notified the NBS rates of Phosphatic&Potassic (PeK) Fertilizers for the 2021-22 twice in the current financial year on 20.05.2021 and 13.10.2021 in order to keep the domestic prices of these fertilizers affordablelreasonable to the farmers and to ensure adequate & timely availability of these fertilizers to the farmers. year
- (b) The Notification No. 23011/1/2021 dated 13.10.2021 having latest NBS rates for 25 P&K Fertilizers is at Annexure-I.
- (c) Yes, Sir, Potash derived from molasses has been included under the NBS Scheme W.e.f: 01.10.2021 as 25th grade of P&K Fertilizers.

(d) The Notification No. 23011/1/2021 dated 13.10.2021 for inclusion of Potash derived from molasses is at Annexure-I:

(e) There has been.a continuous increasing trend in the international prices of raw material of P&K Fertilizers i.e. Ammonia, Phosphoric Acid, Sulphuric Acid and the finished products i.e. DAP , MOP and Sulphur (Annexure-II): Accordingly, a special onetime package for additional subsidy have been provided by Government of India on 13.10.2021 (effective from 1.10.2021 upto for DAP and 3 most consumed NPK fertilizers (10.26.26, 20.20.0.13 and 12.32.16) so that the rollover of NBS rates during Rabi season is further supported and fertilizers are available at affordable price to the farmers.

Subject:

## OFFICE MEMORANDUM

Nutrient Based   Subsidy (NBS) rates for Phosphatic and Potassic (PeK)  fertilizers, onetime   special   package for DAP and 3 most consumed NPK grades for Rabi 2021-22 (from 1st October, 2021 upto March, 2022) and inclusion of Potash Derived from Molasses (PDM) (O:0:14.5:0) under NBS Scheme. 31st

The undersigned is directed to refer to OM of even no. dated 20.5.2021 on the subject mentioned above and to convey that per Kg subsidy o nutrients , namely Nitrogen (N), Phosphate (P); Potash (K) and Sulphur (S) contained in P&K fertilizers covered under the NBS for the year 2021-22, applicable W.e.f: 01.10.2021t0 31.03.2022, shall be as under: Policy

| S. No   | Nutrients   |   NBS (Rs_Per Kg of Nutrient) |
|---------|-------------|-------------------------------|
|         | N           |                        18.789 |
| 2       | P           |                        45.323 |
| 3       | K           |                        10.116 |
| 4       | S           |                         2.374 |

- 2 It is also to state that Potash Derived from Molasses (PDM) (0.0:14.5.0) has been included under the NBS Scheme; as 25"hgrade of P&K Fertilizers.
- 3 Product-wise subsidy on various grades of P&K fertilizers covered under FCO and NBS Scheme for 2021-22,applicable from 01.10.2021 to 31.03.2022, shall be as under: -

| SNo:   | Name of Fertilizers   |   NBS Rateslin Rs/ MT) |
|--------|-----------------------|------------------------|
|        | DAP 18-46-0-0         |                  24231 |
| 2      | MOP 0-0-60-0          |                   6070 |
| 3      |                       |                   7513 |
| 4      | NPS 20-20-0-13        |                  13131 |
| 5      | NPK 10-26-26-0        |                  16293 |
| 6      | NP 20-20-0-0          |                  12822 |
|        | NPK 15-15-15          |                  11134 |
| 8      | NP 24-24-0-0          |                  15387 |
| 9      |                       |                   4398 |
| 10     | NP 28-28-0-0          |                  17951 |
| 11     | NPK 17-17-17          |                  12619 |

## No. 23011/1/2021-Pek Government of India Department of Fertilizers

Annexure-''

ShastriBhawan; New Delhi

|   12 | NPK 19-19-19     |   14103 |
|------|------------------|---------|
|   13 | NPK 16-16-16-0   |   11876 |
|   14 | NPS 16-20-0-13   |   12379 |
|   15 | NPK 14-35-14     |   19910 |
|   16 | NPS 24.24-0-8*   |   15387 |
|   17 | MAP 11-52-0-0    |   25635 |
|   18 | TSP 0 46-0-0     |   20849 |
|   19 | NPK 12-32_16     |   18377 |
|   20 |                  |   16737 |
|   21 | NPKS 15-15-15-09 |   11348 |
|   22 | NP 14-28-0-0     |   15321 |
|   23 | NPK 8-21-21      |   13145 |
|   24 | NPK 9-24-24      |   14996 |
|   25 | PDM (0.0.14.5.0  |    1467 |

Subsidy on Sulphur not included

- 4 variant of the Gubsidized P&k fertilizers covered under NBS Scheme and are fortifiedl coated with Boron and Zinc, as provided for under FCO will continue to be eligible for   subsidy: Such fortifiedl  coated grades of   fertilizers will   attract an additional per MT subsidy to encourage their application along with primary nutrients as per the rates mentioned below: Any
5. Special onetime package with an additional  subsidy for the following P&K fertilizers, applicable from 01.10.2021 to 31.03.2022, shall be as under:
6. In order to examine the reasonableness of MRPs of P&k fertilizers , the fertilizer companies will continue to submit the certified cost data as per the extant guidelines of reasonableness of MRP of P&k fertilizers. The fertilizer companies will also report MRP of P&k fertilizers regularly to DOF. The profit earned above the reasonable profit will be treated as unreasonable and will be recovered from the subsidy bills of such companies.

|   S.No | INutrients for fortificationAdditional subsidy for fortifiedl coated] las per FCO lfertilizers over and above the lindicated in para 3 above   |   INutrients for fortificationAdditional subsidy for fortifiedl coated] las per FCO lfertilizers over and above the lindicated in para 3 above |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------|
|      1 | Boron (B)                                                                                                                                      |                                                                                                                                            300 |
|      2 | Zinc (Zn)                                                                                                                                      |                                                                                                                                            500 |

| S. No:   | Name of Fertilizers   |   Additional Subsidy over and above the rates indicated in para 3 above |
|----------|-----------------------|-------------------------------------------------------------------------|
|          |                       |                                                                    8769 |
| 2        | NPS 20-20-0-13        |                                                                    2000 |
| 3        | NPK 10-26-26-0        |                                                                    2000 |
| 4        | NPK 12-32-16          |                                                                    2000 |

- 7 The P&k fertilizer companies will ensure that the MRP of various grades of P&k fertilizers be maintained in accordance with the subsidy rates as notified and sell through their retailers accordingly:
- The fertilizer  companies Retail Price (MRP) along with applicable subsidy on the fertilizer bags clearly: sale above the printed MRP will be punishable under the EC Act: Any
- 9 The   distribution and movement of  fertilizers   along with   import  of  finished fertilizers , fertilizer  inputs and production by indigenous units will continue to be monitored through the online web based "Integrated Fertilizer Monitoring System (iFMS)"
- 10\_ Manufacturers/Marketers/lmporters of P&K fertilizers, including manufacturers of SSP , are required to ensure that fertilizers are transported up to the retail point on Freight on Road (F.O.R.) delivery basis.
- 11\_ There would be no separate subsidy on sale of  customized  fertilizers and mixture fertilizers.
- 12 The payment of subsidy to the manufacturerslimporters of P&K fertilizers shall be released as procedure and terms and conditions mentioned in the Department Notification No D(FAY CCEA/2O11 dated 25.10.2012 and
13. This issues with the approval of the Competent Authority:
- 14\_ Hindi version will follow.

## To,

- 2 Secretary (Expenditure) , Department of Expenditure, North Block, New Delhi:
- 1 Secretary (Agriculture) , DA&FW; Krishi Bhawan; New Delhi.
- 3 Secretary (NITI Aayog) , Yojana Bhawan; New Delhi.
- 5.
- 4 Joint Secretary, Prime Minister's Office, South Block; New Delhi.
- 6
7. Joint Secretary (PF-II) , Department of Expenditure, North Block, New Delhi:
8. Joint
- 9 Joint Secretary (AS) , Department of Fertilizers, New Delhi.
11. Chief Controller of Accounts, Department of Fertilizers, New Delhi.
- 10.Executive Director; FICC , Department of Fertilizers, New Delhi.
12. Director (P&K) , Department of Fertilizers, New Delhi.
- 13.Director (Finance)Director (Budget) , Department of Fertilizers, New Delhi:
- 14.DS, PMO, South Block; New Delhi
- 15.Jt. Director (Movement) , Department of Fertilizers, New Delhi.
- 17.DDG, NIC , Department of To  upload on website and other   digital platforms
- 16.Director (Fertilizer Subsidy) , Department of Fertilizers, New Delhi:
- 19.All Urea Manufacturers and P&K Fertilizer Manufacturers& importers.

Sdl- (Dr. Tina Soni) Director Tel: 23386398

## Copy to:

- Chief Secretaries of the State Governmentsl UTs:
2. Commissioners/Directors, CommissioneratelDirectorate of Agriculture of the State Governmentsl Uts\_

## Copy also to:

- 1 PS to Hon'ble Minister (C&F)
2. PS toHon'ble MOS (C&F)
- 4 AD (OL) , Hindi Cell, Department of Fertilizers For translation in Hindi
3. PS to Secretary (Fertilizers)
5. website
6. Guard File

## Annexure-II

## Rates $ per MT

| Month    |   DAP |   MOP |   Phosphoric Acid |   Rock Phosphate |   Ammonia |   Sulphur |   Urea |
|----------|-------|-------|-------------------|------------------|-----------|-----------|--------|
| 21 May,  |   565 |   280 |               998 |              123 |       543 |       216 |    372 |
| 21 Sep-, |   730 |   280 |              1160 |              144 |       625 |       234 |    513 |