Atmanirbhar Bharat 3.0: FM Nirmala Sitharaman announces Rs 65,000 crore fertiliser subsidy to farmers, Rs 10,000 crore additional outlay for PMGKRY

Finance Minister Nirmala Sitharaman

Union Finance Minister Nirmala Sitharaman on November 12 announced Rs 65,000 crore fertiliser subsidy to farmers under the stimulus package, as a part of Atmanirbhar Bharat 3.0.

Stating that the economy is seeing strong recovery, and COVID-19 active cases are declining, the finance minister said, "Fertiliser consumption is going up significantly, an increased supply of fertilisers will ensure that forthcoming crop seasons will not be affected for want of adequate fertilisers."

Under the Atmanirbhar Bharat 3.0 stimulus package, Sitharaman said Rs 65,000 crore is being provided to ensure adequate availability of fertilisers during the upcoming crop season.

Nirmala Sitharaman Press Conference Updates

The minister noted that a 17.8 percent increase in fertiliser usage against actual usage of 571 lakh metric tonnes in 2019-20 has been recorded. She cited favourable monsoon and the resultant increase in the sown area as reasons for the increased usage.

The finance said the fertiliser consumption may increase to 673 lakh MT in 2020-21 against 499 lakh MT in 2016-17. The increased supply of fertilisers at subsidised rates is expected to benefit 140 million farmers.

PM Garib Kalyan Rozgar Yojana additional outlay:

FM Sitharaman also announced an additional outlay of Rs 10,000 crore for PM Garib Kalyan Rozgar Yojana (PMGKRY). These funds can be used for MGNREGA or Gram Sadak Yojana and will help accelerate the rural economy.

Under the PMGKRY, Rs 37,543 crore has been spent till date through MGNREGA, PMGSY, and others. Sitharaman stated that the Union government had provided Rs 61,500 crore for MGNREGA in Budget 2020-21 and had provided Rs 40,000 crore under Atma Nirbhar Bharat 1.0.

Moreover, Rs 73,504 crore has been released under MGNREGA till date and 251 crore person-days of employment have been generated.

The new announcements came just a day after the Union Cabinet approved the Production-Linked Incentive (PLI) scheme for 10 sectors.