Updated: October 13, 2021 3:22:08 am
THE CENTRE on Tuesday approved the rates of Nutrient Based Subsidy (NBS) for phosphorous and potash fertilisers for the period October 1, 2021 to March 31, 2022.
A decision to this effect was taken at a meeting of the Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi. The financial implication of the decision will involve Rs 28,655 crore, according to an official statement.
The rate of subsidy was fixed at Rs 18.789 per kg for N (nitrogen), Rs 45.323 per kg for P (phosphorus), Rs 10.116 per kg for K (potash) and Rs 2.374 per kg for S (sulphur).
On June 16, the government had approved the NBS rates till the current kharif season. Now, it has extended it for the rabi season as well. The decision comes at a time when the sowing of rabi crops is about to pick up.
“This will enable smooth availability of all P&K fertilisers to the farmers during rabi season 2021-22 at the subsidised/affordable prices of fertilisers and support the agricultural sector by continuing the present subsidy levels and giving special packages of additional subsidy for DAP and three mostly consumed NPK grades,” the statement said.
“It will give Rs 438 per bag benefit on Di-Ammonium Phosphate (DAP) and Rs 100 per bag benefit each on NPK 10-26-26, NPK 20-20-0-13 & NPK 12-32-16 so as to maintain prices of these fertilisers affordable to the farmers,” it said.
While the total subsidy requirement will be Rs 35,115 crore, the total amount of rollover will be Rs 28,602 crore.
“Net subsidy required for Rabi 2021-22 after deducting savings will be Rs 28,655 crore,” the statement said.
“The subsidy on P&K fertilizers will be provided based on the NBS rates approved by the CCEA to ensure smooth availability of these fertilizers to the farmers at affordable prices,” it said.
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