Cabinet nod for Rs 51,875 crore subsidy for P&K fertilisers ahead of Rabi season

New Delhi: The Centre on Wednesday approved a subsidy of Rs 51,875 crore for phosphatic and potassic (P&K) fertilisers for the second half of 2022-23 as part of efforts to provide affordable soil nutrients to farmers. The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi approved nutrient-based subsidy (NBS) rates for P&K fertilisers for the 2022-23 Rabi season, an official statement said. The CCEA has approved a subsidy of Rs 98.02 per kg for nitrogen (N), Rs 66.93 per kg for phosphorus (P), Rs 23.65 per kg for potash (K) and Rs 6.12 per kg for Sulphur (S), it said. “Subsidy approved by the Cabinet for the NBS Rabi-2022 (from 01.10.2022 to 31.03.2023) will be Rs 51,875 crore including support for indigenous fertiliser (SSP) through freight subsidy,” the statement said. This will enable smooth availability of all P&K fertilisers to farmers during the Rabi season at subsidized / affordable prices and support the agriculture sector, it said. “The volatility in the international prices of fertilisers and raw materials has been primarily absorbed by the union government,” it added. The government had in April approved a subsidy of Rs 60,939.23 crore for P&K fertilisers for first six months (Kharif season) of current fiscal year. The NBS scheme is being implemented since April 2010. Under the scheme, a fixed rate of subsidy used to be announced on nutrients namely nitrogen, phosphate, potash and sulphur by the government on annual basis. However, it is being announced now on a biannual basis. The per kilogram subsidy rates on N, P, K, and S are converted into per tonne subsidy on the various P&K fertilisers covered under the NBS policy. The government is making available fertilisers to farmers at subsidized prices through fertiliser manufacturers/importers. In view of steep increase in the international prices of fertilisers and inputs i.e urea, DAP, MOP and sulphur, the government has decided to absorb the increased prices by increasing subsidy on P&K fertilisers, including DAP. The subsidy would be released to fertiliser companies as per approved rates so that they can make fertilisers available to farmers at an affordable price, the statement said. Read all the Latest News , Trending News , Cricket News , Bollywood News , India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.