Govt plans direct benefits transfer in fertiliser subsidy

The government plans to directly transfer the fertiliser subsidy to farmers and an experimental project for the same is being considered in 20 districts.

The department of fertiliser (DoF) is working on a road map to capture the details of farmers, so that sales data can be captured and subsidy can be transferred to farmers’ accounts directly, according to a Parliamentary Standing Committee report.

“The department (DoF) is working closely with the mission directorate (DBT) to implement DBT (direct benefits transfer) in fertilisers,” the report added.

According to sources, the government is planning to conduct a pilot project in 20 districts for direct transfer of subsidy on phosphoric and potassic fertilisers to the farmers.

The report has also added that districts of Gujarat and Odisha are being selected to go for the pilot project.

The government had allocated about Rs 73,000 for the fertiliser subsidy in the current financial year. Of which, the government has allocated Rs 38,200 crore for domestic urea and Rs 12,300 crore for imported urea. The remaining amount has been earmarked for sale of decontrolled phosphoric and potassic fertilisers.