Page 2 - Fertiliser Subsidy

Fertiliser subsidy bill to fall up to 34 % to Rs 1.8 trillion this fiscal

The government's fertiliser subsidy bill is likely to decline 30-34 per cent to Rs 1.7-1.8 lakh crore this fiscal due to fall in global prices and lower imports of urea, Union Minister Mansukh Mandaviya said on Wednesday. Asked about any adverse impact on imports due to problems in Red sea, the minister asserted "there is no shortage of fertilisers in the country". Addressing a press conference, chemicals and fertilizers minister Mansukh Mandaviya highlighted that the urea imports are estimated at 40-50 lakh tonnes this fiscal, lower from around 75 lakh tonnes imported in the previous year, helped by higher domestic production and increased use of nano liquid urea. "Ministry of External Affairs is making necessary interventions and our Navy is giving protection to Indian cargo vessels," Mandaviya told reporters. According to exporters, freight rates have skyrocketed by up to 600 per cent due to the Red Sea crisis which would hurt the world trade. The geopolitical tension around th

India's subsidies may cost the govt Rs 50,000 cr more than its FY24 Budget

The subsidy outgo for FY24 was planned at Rs 4.03 trillion, but it could rise up to Rs 4.53 trillion

Centre approves Rs 22,303 cr subsidy on P&K fertilizers for rabi season

The FY24 Budget had estimated the subsidy expenditure on non-urea fertilisers at Rs 44,000 crore for the 2023-24 financial year

Govt approves NBS rates for Rabi season on phospatic, potassic fertilisers

An expenditure of Rs 22,303 crore is expected on the Nutrient Based Subsidy (NBS) in the upcoming Rabi season

Rationalising prices

Excess use of urea should be contained

Modi govt increased fertiliser subsidy for farmer 5 times: Prakash Javdekar

Former Union Minister Prakash Javdekar said that Prime Minister Modi-led Bharatiya Janata Party govt is working for the farmers and has increased fertiliser subsidy by five times during its tenure

India looking at low fertiliser subsidy burden, less urea import in FY24

Urea is the most widely consumed fertiliser in the country, which is followed by DAP

Per kilogram subsidy under NBS regime down due to reduction in rates

A report by ICRA said that after the Cabinet decision, the subsidy for P&K fertilisers for the kharif season stood at Rs 38,000 crore against the full-year budgetary allocation of Rs 44,000 crore

Govt approves revision in NBS rate for Rabi season, sets rate for Kharif

Mandaviya also stated that the reduction in fertiliser subsidy of Rs 1.08 trillion for the Kharif season (April-September) will not lead to higher prices for the farmers

Govt launches flying squads to prevent illegal diversion of agri-grade urea

In the course of their inspections, the squads have registered 30 FIRs for illegal diversion of urea, confiscating 70,000 bags in the process

Union Budget 2023-24: Big cut in food, fertiliser subsidy bill in FY24

Possible triggers? Abolition of extra free foodgrain distributed as part of PMGKAY, cooling of international fertiliser prices

Budget 2023: Growers want apples put under special category, seek subsidies

Apple growers and other horticulturists in Himachal Pradesh said they were hopeful of getting special provisions in the Union Budget to boost trade of Himachali apples.The growers said they were also looking forward to Finance Minister Nirmala Sitaraman giving more clarity on import duty on apples procured from overseas to India or bringing the apples under a special category in World Trade Organisation (WTO).The farmers also demand subsidies in fertilisers and provision of MSP for apples on a par with Jammu and Kashmir."We are hopeful of special budgetary provisions for us. Inflation has hit everyone in the country, and the cost of production is going up. There is an urgent need for subsidy on fertilisers and pesticides for horticulture. We also are looking for more clarity from the finance ministry on imposition the 100% import duty on apples (from overseas), as imported apples, especially from China and Iran, hit our peak apple season, resulting in the prices of our produce going ..

Fertiliser subsidy: X factors that could sway a ballooning bill either way

Two policy tweaks to lower the govt's bill depend on weather, state of the global economy and the trajectory of the Russia-Ukraine war

Cost advantages

Nano-fertilisers will reduce subsidy outgo

India aims for $17 bn cut in food, fertiliser subsidies in 2023-24: Report

The government expects to budget around Rs 2.3 trillion for food subsidies in the coming fiscal year, compared with Rs 2.7 trillion for the current year to March 31

Centre may spend less on fertiliser subsidy to narrow its budget deficit

The lower fertilizer allocation will help with India's goal of cutting its budget deficit. Food and energy costs have jumped after Russia's invasion of Ukraine

Fall in RM costs, higher urea subsidy may buoy fertiliser stocks: Analysts

Shares of Coromandel International, Deepak Fertilisers, GSFC, Madras Fertilisers, National Fertilisers, RCF, and Zuari Agro Chemicals have soared up to 196 per cent so far this calendar year (CY22)

Fertiliser subsidy bill in FY23 at Rs 2.3-2.5 trn; may fall 25% in FY24

The government's fertiliser subsidy will rise to Rs 2.3-2.5 lakh crore in this fiscal but the bill may fall by 25 per cent in the 2023-24 financial year with moderation in global prices, according to industry body FAI. Fertilisers Association of India (FAI) expressed concern that the fixed cost of urea has not been increased affecting the viability of urea plants. It also pointed out that the industry is running on a very thin margin, which is hampering new investments in this sector. The industry body said there is sufficient availability of fertilisers, including urea and DAP, for the ongoing rabi (winter-sown) season. "We estimate the fertiliser subsidy bill at Rs 2.3 lakh crore to Rs 2.5 lakh crore," FAI President K S Raju told reporters here late Monday. This has helped insulate the farmers from the impact of a steep increase in the cost of all fertilisers due to sharp rise in international prices of fertilisers and raw materials, he added. The fertiliser subsidy stood at Rs

GNFC, Deepak Fertilisers can soar up to 35%, hint charts; avoid Chambal

Barring, Chambal Fertilizers & Chemicals, which has shed 19 per cent on YTD basis, most of the other fertilizers stock have logged gains so far in 2022. Deepak Fertilisers has zoomed 148 per cent.

Cabinet okays subsidy for phosphatic, potassic fertilisers for rabi season

The Union Cabinet on Wednesday approved the proposal of the department of fertilizers for per kilogram rates of nutrient-based subsidy (NBS) for various nutrients for rabi season 2022-23, starting from October 1, 2022, to March 3, 2023.These nutrients are nitrogen (N), phosphorus (P), potash (K) and sulphar (S) for phosphatic and potassic (P & K) fertilisers.An official release said that subsidy approved by Cabinet for the nutrient-based subsidy (NBS) Rabi-2022 will be Rs 51,875 crore including support for indigenous fertiliser (SSP) through freight subsidy.It said this would enable the smooth availability of all P & K fertilisers to the farmers during Rabi 2022-23 at the subsidised prices of fertilisers and support the agriculture sector. The volatility in the international prices of fertilisers and raw materials has been primarily absorbed by the government, the release said.It said the government is making available fertilisers - urea and 25 grades for P & K ...