Lok Sabha Question No. 3303 (UNSTARRED), answered on 2025-08-08
Subject: Direct Benefit Transfer Scheme
Ministry: CHEMICALS AND FERTILIZERS
Asked by: Shri Tharaniventhan M S

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

## LOK SABHA

## UNSTARRED QUESTION NO 3303 TO BE ANSWERED ON: 08.08.2025

## Direct Benefit Transfer Scheme

3303. Shri Tharaniventhan M S:

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

- (a) the current status of implementation of the Direct Benefit Transfer (DBT) scheme for fertilizers, including the number of farmers covered in Tamilnadu
- (b) the total amount of subsidy transferred directly to the farmers accounts under DBT in Tamil Nadu during the last three years, (c) the measures taken to ensure timely and transparent transfer of subsidies to eligible farmers. (d) the challenges faced in implementation of DBT alongwith the steps taken to address them in Tamil Nadu, and
- (e) the impact of DBT on fertilizer usage efficiency and crop productivity in Tamil Nadu?

## ANSWER

## THE MINISTER OF STATE IN MINISTRY OF CHEMICAL AND FERTILIZERS (SMT. ANUPRIYA PATEL)

- (a) to (c) : The DBT system entails payment of subsidy to the Fertilizers manufacturing/importing companies on the basis of actual sales through PoS machines by the  retailer  to  the  beneficiary.  The  buyers  identity  is  verified  through  Aadhar  based authentication. Sale of fertilizer is being done on a 'no denial basis'. Any Aadhar enrolled beneficiary can purchase fertilizer on the basis of Aadhaar authentication. Based on the PoS based sales, subsidy claims are submitted by Fertilizers Companies as weekly DBT Bills to Department of Fertilizers. These DBT bills are processed by Department of

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Fertilizers on 'First in First out (FIFO) basis'. Therefore, at present the DBT in Fertilizers is 'in kind' as the buyer purchases Fertilizers at a subsidized cost. The total amount of subsidy paid during last three financial years is at annexure . The year wise number of beneficiaries of Tamil Nadu under 'DBT in Fertilizers' during last three financial years viz. 2022-23, 202324 & 2024-25 is enclosed at annexure .

(d) : The Government of India introduced DBT system in Fertilizers with effect from October, 2016 in 17 pilot districts. Subsequently, pan India roll out of DBT started from September, 2017 and completed in March, 2018.  A Project Monitoring Cell has been set up at  Dept.  of Fertilizers to oversee implementation of DBT exclusively.  State Coordinators have been appointed across all  States  to monitor the  on-going DBT activities. Implementation of the DBT in Fertilizer required deployment of PoS devices at every retailer shop and training of retailers for operating PoS device. Across the country, Lead Fertilizer Supplier (LFS) have conducted 19850  training sessions till date.  Approximately 3.41 Lakh PoS devices have been deployed across all States.  Department is continuously making efforts to improve the system based on the feedback received from various stakeholders. In the initial phase of implementation of DBT some challenges were faced in Tamil Nadu related to internet connectivity in rural and remote areas, difficulty with fingerprint recognition of  elderly  farmers  and  lack  of  awareness  among  farmers  etc.  These  issues  have  been  already addressed by conducting intensive awareness drives through campaigns, pamphlets and village level meeting to educate farmers about DBT producers. Provision for OTP based authentication is available for Aadhaar authentication of farmer in case of biometric failure. Strengthening of internet connectivity  at  retail  point  and  provision  of  alternatives  of  PoS  devices  viz.  Mobile  and  Desktop application  of  iFMS  platform  in  critical  areas  have  been  made  available  to  ensure  smooth implementation of DBT in Fertilizers

(e)  The implementation of DBT in Tamil Nadu had a positive impact on fertilizer distribution and agricultural production and productivity. Real-time transaction tracking has enhanced transparency in  fertilizer  movement  and  availability,  enabling  timely  interventions.  The  DBT  system  enables farmers to purchase subsidized fertilizers at affordable prices, ensuring timely availability which in turn enhances crop production and productivity.

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Annexure referred to in reply to part (a)  to (c)  of Lok Sabha Unstarred Question No 3303  for answering on 08.08.2025

- I. Total subsidy paid during last three financial years:

| Subsidy paid in Rs. Crores   | Subsidy paid in Rs. Crores   |
|------------------------------|------------------------------|
| Financial Year               | Grand Total                  |
| 2022-23                      | 2,54,798.93                  |
| 2023-24                      | 1,95,420.51                  |
| 2024-25                      | 1,77,129.50                  |

## II. Year wise total number of beneficiaries in Tamil Nadu under DBT in Fertilizers:

| Financial year   | Total number of Beneficiaries covered under 'DBT in Fertilizers'   |
|------------------|--------------------------------------------------------------------|
| 2022-23          | 27,35,187                                                          |
| 2023-24          | 25,06,239                                                          |
| 2024-25          | 16,29,339                                                          |