Govt provides Rs 49,330 cr fertilisers subsidy till July 21 of FY26

New Delhi, Jul 25 (PTI) The Centre has provided fertilisers subsidy of Rs 49,330 crore till July 21 of this fiscal to ensure farmers get key nutrients at a reasonable price.

In a written reply to Lok Sabha on Friday, Minister of State of Chemicals and Fertilisers Anupriya Patel informed that the total fertilizer subsidy provided by the government stood at Rs 49,329.88 crore till July 21 of 2025-26 fiscal.

Out of this, Rs 30,940.82 crore subsidy was towards domestic urea while Rs 4,006.70 crore for imported urea.

In 2022-23, the Centre's fertiliser subsidy stood at Rs 2,54,798.88 crore. The subsidy declined to Rs 1,95,420.51 crore in 2023-24 and Rs 1,77,129.50 crore in 2024-25.

"Under 'DBT in Fertilizers' system, 100 per cent subsidy on various fertilizer grades is released to the fertilizer companies, on actual sales to the beneficiaries based on Aadhar authentication through POS devices installed at each retail shop," Patel said.

All farmers (including small, medium and large farmers) are being supplied fertilisers at subsidized rates, she added.

The Centre provides urea to farmers at a Maximum Retail Price (MRP) of Rs 242 per bag of 45 kg bag (exclusive of charges towards neem coating and taxes as applicable).

The difference between the MRP and the production cost is given as subsidy to the urea manufacturer/importer.

Urea production increased from 225 lakh tonne during 2014-15 to a record 314.07 lakh tonne during 2023-24. During 2024-25, 306.67 lakh tonne of urea was produced in the country.

In respect of P&K (phosphatic and potassic fertilizers), the Centre has implemented Nutrient Based Subsidy policy with effect from April 2010.

Under the policy, a fixed amount of subsidy is provided on subsidised P&K fertilizers depending on their nutrient content. The MRP is fixed by fertilizer companies. PTI MJH MJH ANU ANU