Government trying to address fertiliser shortages
The government today said there is shortage of key fertilisers and it is trying to import sufficient quantities to ensure domestic supply.
August 26, 2011 / 16:06 IST
The government today said there is shortage of key fertilisers and it is trying to import sufficient quantities to ensure domestic supply.
"There are constraints in Di-ammonium Phospate (DAP) supply which is met through imports.There is no sufficient supply of Muriate of Potash (MoP) in the international market. We are trying to break the cartel,"Minister of State for Fertiliser Srikant Kumar Jena said in the Rajya Sabha.The country is dependent on import to meet 90% of the DAP demand and the entire requirement of MoP, he said during Question Hour.He also mentioned that the state government can import MoP as it is a free commodity.The minister said the supply of urea fertiliser is sufficient in the country."There is no problem in urea availability,"he said.Currently, there is tight supply of DAP in the global market and hence Indian companies are not able to import. As regards MoP, fertiliser firms could not import in the first half of the current fiscal due to high global prices.The minister urged state governments to ensure supply of fertilisers, which is highly subsidised and said the subsidy bill is to the tune of Rs 90,000 crore to 1,00,000 crore this fiscal.To a query on closed fertiliser units, Jena said the government has started the process for revival of eight fertiliser plants closed in 2002. He agreed with the members that fertiliser units could not be revived without ensuring supply of natural gas. The Ministry of Petroleum has promised supply of gas. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
