The government on September 18 approved Rs 24,475-crore subsidy on phosphatic and potassic (P&K) fertilisers for the rabi season of 2024-25 to ensure supply of crop nutrients to farmers at affordable rates.
The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Nutrient Based Subsidy (NBS) rates for rabi season 2024 (from October 2024 to March 2025) on P&K fertilizers.
A benefit of the subsidy is that availability of fertilisers to farmers at subsidised, affordable and reasonable prices will be ensured. Rationalisation of subsidy on P&K fertilisers done in view of recent trends in the international prices of fertilisers and inputs, said government in a statement.
The government is making available 28 grades of P&K fertilisers to farmers at subsidised prices through fertiliser manufacturers/ importers. The subsidy on P&K fertilizers is governed by the NBS scheme with effect from April 1, 2010.
"In view of the recent trends in the international prices of fertilizers & inputs i.e. urea, DAP, MOP and sulphur, government has decided to approve the NBS rates for Rabi 2024 on P&K fertilizers," the statement said.
The Union Cabinet also approved the continuation of schemes of Pradhan Mantri Annadata Aay SanraksHan Abhiyan (PM-AASHA) to provide remunerative prices to farmers and to control price volatility of essential commodities for consumers.
The total financial outgo will be Rs 35,000 crore during 15th Finance Commission Cycle up to 2025-26.
The government has converged the Price Support Scheme (PSS) and Price Stabilization Fund (PSF) schemes in PM-AASHA to serve the farmers and consumers more efficiently.
"The Integrated scheme of PM-AASHA will bring in more effectiveness in the implementation which would not only help in providing remunerative prices to the farmers for their produce but also control the price volatility of essential commodities by ensuring their availability at affordable prices to consumers," the government said.
PM-AASHA will now have the components of Price Support Scheme (PSS), Price Stabilization Fund (PSF), Price Deficit Payment Scheme (POPS) and Market Intervention Scheme (MIS).
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!
