Cabinet meet on fertiliser today: What to expect?

The cabinet meeting slated for today evening is not for a di-ammonium phosphate (DAP) complex fertiliser price hike but to revise a particular clause in the complex fertiliser notification that came earlier, reports Ekta Batra of CNBC-TV18.

There has been a hike in the prices of DAP because we import all of it. The import parity price or the compensation received from the government was hiked to USD 612 because of the unrest in the Middle East. Also read: Punjab CM pitches for direct transfer of fertiliser subsidy There is a notification which states that the Indian companies manufacturing and selling DAP can only hike prices by Rs 600 per tonne. Essentially, DAP or complex fertiliser comes under the nutrient base subsidy scheme which is already decontrolled and deregulated, thus the question of having a cap of Rs 600 to hike prices by should not arise. The cabinet is likely to discuss about changing this clause today. The cabinet had deferred the meeting last week to this week. Also watch the accompanying video.