Nutrient-based fertilizers: Cabinet OKs ₹38K-cr subsidy, Pg8.

Key Highlights:

• The Union Cabinet approved a ₹38,000 crore subsidy on Phosphatic and Potassic (P&K) fertilizers for the Rabi season 2025-26, effective from October 1, 2025, to March 31, 2026.
• The Nutrient Based Subsidy (NBS) rates include ₹43.02/kg for nitrogen (N), ₹47.96/kg for phosphorus (P), ₹2.38/kg for potash (K), and ₹2.87/kg for sulphur (S).
• The subsidy covers 28 grades of P&K fertilizers, including Di Ammonium Phosphate (DAP) and NPKS (Nitrogen, Phosphorus, Potash, Sulphur) grades.
• The initiative aims to provide affordable fertilizers to farmers and promote balanced fertilizer use.

Fertilizer Subsidy for Rabi Season (₹ crore)

Detailed Insights:

• The NBS scheme intends to rationalize fertilizer subsidies based on international price trends, ensuring farmers receive P&K fertilizers at subsidized rates.
• The budgetary allocation for the Rabi season 2025-26 is approximately ₹736 crore higher than that of the Kharif season 2025, reflecting the government's commitment to the agriculture sector.
• While phosphorus (P) and sulphur (S) prices saw a slight increase, nitrogen (N) and potash (K) prices remain at the same level as before.
• By ensuring affordable fertilizers, the government aims to boost agricultural productivity and increase farmers' income, aligning with its welfare objectives.

Key Concepts Involved:

• Nutrient Based Subsidy (NBS): A policy where the government provides a fixed amount of subsidy on each unit of nutrient, rather than on the fertilizer product itself.
• Rabi Season: The winter cropping season in India, typically spanning from October to March.
• Phosphatic and Potassic (P&K) Fertilizers: Fertilizers containing phosphorus and potassium, essential nutrients for plant growth and development.