Fertilizers committee warns towards under-funding of nutrient subsidy schemes

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| Picture Credit score: The Hindu

The parliamentary Standing Committee on Chemical compounds and Fertilizers, headed by Trinamool Congress MP Kirti Azad, has urged the Union Fertilizers Ministry to hunt further funds for the sector on the revised estimate stage to make sure that subsidy schemes for farmers should not negatively affected.

In a report on Calls for for Grants tabled in Parliament lately, the panel additionally really helpful to the Centre the expantion of manufacturing capability of nano urea and nano diammonium phosphate (DAP) by guaranteeing the well timed institution of manufacturing items. Moreover, it referred to as for a technique to popularise these nano fertilizers amongst farmers.

The Committee famous that whereas the Centre facilitates agreements between Indian fertilizer firms and their counterparts in resource-rich international locations to make sure the provision of uncooked supplies, intermediates, and completed fertilizers, no efforts have been made to safe mining lease agreements for extraction, exploration, refining, or manufacturing. It urged the Centre to enter into such agreements to bolster home provide. “With out introducing bodily measures and pumping in Authorities, Public and Personal funding, the purpose of reaching self-sufficiency within the area of fertilizers is tough to attain,” the report acknowledged.

The panel noticed that whereas the Division of Fertilizers had projected an outlay of ₹ 1,84,704.63 crore for its varied schemes in 2025-26, the Ministry of Finance had diminished this allocation by 7.38% to ₹ 1,71,082.44 crore. “The discount has been made in each the Nutrient-Based mostly Subsidy (NBS) Scheme and the Urea Subsidy Scheme of the Division,” the report mentioned, including that this minimize would have an effect on the graceful implementation of subsidy schemes.

The Committee additionally highlighted underutilisation of funds throughout varied classes throughout 2024-25, together with 20% beneath indigenous phosphorus and potassium (PK) fertilizers, 12% beneath imported PK, 14.76% beneath indigenous urea, and 59.57% beneath Market Growth Help (MDA). It really helpful that the Centre ensures full utilisation of allocations in a deliberate method, with continuity beneath varied heads of Ministry. Given the significance of urea in food-grain manufacturing, the panel confused that the Urea Subsidy Scheme should proceed.

Citing a rise in crop yield when combining nano urea with standard urea, the panel famous that the best yield enchancment was noticed in peas (6.14% to 14.82%) and the bottom in sugarcane (1.65% to 4%). “Area trials on Nano DAP have revealed that its use for seed remedy and foliar software might probably cut back the requirement for standard granular DAP. The Committee, subsequently, recommends that the Division of Fertilizers ought to develop Nano Urea and Nano DAP manufacturing capacities by guaranteeing the well timed institution of the items envisaged sooner or later,” the report mentioned.