GS 3: EconomyGS 2: GovernancePrelims

Cabinet increases fertilizer subsidy for winter crops, Pg10

Cabinet approves ₹37,952 crore fertilizer subsidy for rabi crops, increasing phosphorus and sulphur subsidies by ₹736 crore.

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Key Highlights:

  • The Union Cabinet approved ₹37,952 crore in fertilizer subsidy for the current rabi season [October 1, 2025 - March 31, 2026].
  • Subsidy increased by ₹736 crore for phosphorous (P) and sulphur (S) fertilizers.
  • Subsidy rates for nitrogen (N) and potash (K) will remain consistent with the kharif season.
  • The rabi season subsidy is approximately ₹14,000 crore higher than the previous rabi season (2024).
Fertilizer Subsidy for Rabi Season (₹ crore)

Fertilizer Subsidy for Rabi Season (₹ crore)

Detailed Insights:

  • The increased subsidy aims to support farmers during the winter cropping season by ensuring affordable access to essential fertilizers.
  • The subsidy for phosphate will increase to ₹47.96 per kg, and sulphur to ₹2.87 per kg.
  • The Centre considered import prices, nutrient needs, and subsidy burdens when fixing the subsidy rate.
  • A special package was provided to ensure the availability of di-ammonium phosphate (DAP) and triple super phosphate (TSP) to farmers.

Key Concepts Involved:

  • Rabi Crop: Crops sown in winter and harvested in the spring.
  • Kharif Crop: Crops sown in monsoon and harvested in the autumn.
  • Fertilizer Subsidy: Government financial assistance to lower fertilizer costs for farmers.
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