Lok Sabha Question No. 328 (UNSTARRED), answered on 2023-07-21
Subject: Prices of Fertilizers
Ministry: CHEMICALS AND FERTILIZERS
Asked by: Pushpendra Singh Chandel

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

## LOK SABHA

UNSTARRED QUESTION NO. 328 TO BE ANSWERED ON

: 21.07.2023

## Prices of fertilizers

## 328. SHRI  KUNWAR PUSHPENDRA SINGH CHANDEL;

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

- (a)      whether the Government has taken any policy measures to control the prices of fertilizers and ensure their easy availability for farmers in the country;
- (b) if so, the details thereof;
- (c) whether efforts have been made by the Ministry of Chemicals and Fertilizers in collaboration  with  other  Ministries  to  make  fertilizers  easily  available  to  the farmers; and
- (d) if so, the details thereof?

## ANSWER

## MINISTER OFSTATE FOR CHEMICALS & FERTILIZERS (SHRI BHAGWANTH KHUBA)

(a)  to  (d)  :  Yes  Sir,  Urea  is  provided  to  the  farmers  at  a  statutorily  notified  Maximum Retail  Price  (MRP). The  MRP  of  45  Kg  bag  of urea  is  Rs.  242 per  bag  (exclusive  of charges towards neem coating and taxes as applicable). The difference between the delivered cost of urea at farm gate and net market realization by the urea units is given as subsidy to the urea manufacturer/importer by the Government of India. Accordingly, all farmers are being supplied urea at the subsidized rates.

As far as P&K fertilizers are concerned, Government has implemented Nutrient Based Subsidy Policy w.e.f. 1.4.2010 for Phosphatic and Potassic (P&K) Fertilizers.  Under the policy, a fixed amount of subsidy, decided on annual/semi-annual basis, is provided on subsidised P&K fertilizers depending on their nutrient content. Under this policy, MRP is fixed by fertilizer companies as per market dynamics at  reasonable  level  which  is  monitored  by  the  Government.  Accordingly,  the  latest subsidy rates for P&K fertilizers under the NBS Scheme are as under:

|   S. No | Nutrients   |   NBS rates for Kharif 2023 (Rs. Per kg of nutrient) (from 1.4.2023 to 30.9.2023) |
|---------|-------------|-----------------------------------------------------------------------------------|
|       1 | N           |                                                                             76.49 |
|       2 | P           |                                                                             41.03 |
|       3 | K           |                                                                             15.91 |
|       4 | S           |                                                                              2.8  |

Following  steps  are  taken  by  the  Government  every  season  to  meet  the adequate and timely requirement of fertilizers in the country.

i. Before the commencement of each cropping season, Department of Agriculture and  Farmers  Welfare  (DA&FW),  in  consultation  with  all  the  State  Governments, assesses the state-wise & month-wise requirement of fertilizers.

ii. On  the  basis  of  requirement  projected,  Department  of  Fertilizers  allocates sufficient/ adequate quantities of fertilizers to States by issuing monthly supply plan and continuously monitors the availability.

iii. The  movement  of  all  major  subsidized  fertilizers  is  monitored  throughout  the country by an  on-line web  based  monitoring  system  called  integrated  Fertilizer Monitoring System (iFMS);

iv. The State Governments are regularly advised to coordinate with manufacturers and  importers  of  fertilizers  for  streamlining  the  supplies  through  timely  placement  of indents for railway rakes through their state institutional agencies like Markfed etc.

v. Regular Weekly Video Conference is conducted jointly by DA&FW and DoF with State  Agriculture  Officials  and  corrective  actions  are  taken  to  dispatch  fertilizer  as indicated by the State Governments.

vi. The gap between demand (requirement) and production for Urea & other fertilizer is  met  through imports. The import for the season is also finalized well in advance to ensure timely availability.

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