NEW DELHI: The Union Cabinet, chaired by Prime Minister Narendra Modi, on Friday approved the proposal of the Department of Fertilizers for fixing the Nutrient Based Subsidy (NBS) rates for kharif season-2025 (which is from April 1 to September 30) on phosphatic and potassic (P&K) fertilisers.
The budgetary requirement for kharif season would be approximately Rs 37,216.15 crore. This is Rs 13,000 crore more than the budgetary requirement for Rabi season, 2024-25.
The move will ensure availability of fertilisers to farmers at subsidised, affordable and reasonable prices and rationalisation of subsidy on P&K fertilizers, in view of recent trends in the international prices of fertilisers and inputs.
The subsidy on P&K fertilizers, including NPKS grades, will be provided based on approved rates for Kharif-2025 to ensure smooth availability of these fertilizers to the farmers at affordable prices.
At present, the government is making available 28 grades of P&K fertilisers to farmers at subsidised prices through fertiliser manufacturers/importers.
The subsidy on P&K fertilizers is governed by a scheme, which commenced on April 1, 2010. Since then P&K fertilizers are being given to farmers at affordable prices.
In view of the recent trends in the international prices of fertilisers and inputs — urea, DAP, MOP and Sulphur — the government also decided to approve the Nutrient Based Subsidy rates for Kharif, which would be effective from April 1 to September 30.
The subsidy would be provided to the fertilizer companies as per the approved and notified rates so that fertilisers are made available to farmers at affordable prices.