Sowing increased by 10% over last year, says Agriculture Secretary

He further said that after implementation of soil cards, people are careful about the quantity of fertilisers.

We do not expect a sharp increase in the volume of fertiliser, said Pattanayak.

However, sowing has increased by 10 percent over the last year, he added.

On direct benefit of transfer (DBT) front, he said implementation of DBT is definitely a challenge.

Below is the verbatim transcript of the interview.

Manisha: There have been some investor notes and reports doing rounds that there could be a deregulation in the fertiliser pricing by 2019. Will you please throw some light on that and if there is something in works there?

A: Let me tell you, fertiliser as a subject of course is dealt with by the Ministry of Fertiliser and I can only speak on behalf of my ministry that there is adequate availability of fertiliser in the current season and we have witnessed most of the stocking with the states are quite adequate and it is available.

There has been a slight reduction in the consumption of urea, thanks to some innovative techniques which have been adopted like neem coating and due to the aggressive marketing of other fertilisers like bio-fertilisers and things like that for which there has been an overall, more judicious use of fertilisers and thanks to the implementation of the soil health card, people are very careful about the right quantity of fertilisers to be used and so this has resulted in a more balanced use and I am certain the soils are going to be healthy in the years to come.

Manisha: Is that showing in the prices as well? Have you seen the volume increase for fertiliser usage this season?

A: No, we do not expect there will be a very sharp increase because as you know, the expected dosage that will be used in the current year will be more or less at the same level as last year because the kharif season is still not over. The sowing is going on. But if at all there will be, it will be a marginal increase because the sowing at the current rate is 10 percent higher than last year and by the end of kharif, we will exactly know how much area more has come under cropping.

Manisha: What is your sense on the direct benefit transfer (DBT)? Is the infrastructure ready for it in terms of point of sale (POS) because we have had companies come on the channel and say that there is only 50 percent of the POS that has been installed till time?

A: The DBT is definitely a challenge in the fertiliser sector and we had carried out pilots in 16 districts of the country and the results have been quite encouraging. So the Department of Fertiliser has got a roadmap to rollout this fertiliser implementation of DBT's subsidy. And so far as our role is concerned, you know the portal which they have developed or is under development, it also links our soil health card details. So the sale of fertiliser in the market will be directly linked to the recommendation of the fertiliser that the farmers have with them and ultimately, it will be linked to the land holdings which they have.

So ultimately, based on that, I am certain that there will be more economic use of fertilisers and it will be more targeted only towards the farmer. So it will have its own positive result and I am certain that the roadmap is there before the fertiliser ministry and they are directly in touch with all the fertiliser companies in the country right up to the dealer. And everything is computerised and the dealer through the fertiliser management systems software is connected right up to the factory as well as such of those who are importing fertilisers from abroad.

Latha: What is your sense about the implementation of GST? Has it increased the subsidy receivable cycle for fertiliser companies? Have they to wait longer?

A: We are not in charge of giving subsidies to the fertiliser companies. I made it very clear that it is a department of fertiliser which does so, but from our point of view we are looking whether the farmer is going to make the right type of combination of fertiliser for the soil, because soil health is of paramount importance not only for productivity but also for the long-term sustainability of agricultural production.

You know that there have been a lot of discussions on soils which have become chemically toxic and things like that. So from that point of view, there will be an improvement in the soil characteristics which ultimately will result in reduction of cost and also increase in productivity of the crop. So we are basically looking at that and definitely people should not just make use of fertilisers just because it is available at a less cost to them. So I am looking basically from that point of view.

So far as the company perspective is concerned I am certain that the department of fertiliser will be able to throw more light on it.