The government has increased the subsidy on non-urea fertilizers that mainly comprise phosphorus (P) and sulphur (S) to Rs 37,952 crore for the rabi season 2025-26 to both manage increasing import costs and to help the farmers.
Union Cabinet chaired by Prime Minister Narendra Modi approved the new rates that will be in effect from October 1, 2025, to March 31, 2026.
Along with the Nutrient-Based Subsidy (NBS) scheme, the subsidy for phosphorus has been increased to Rs 47.96 per kg from Rs 43.60 per kg in the previous kharif season, which is one 10% increase and 56% higher than that of the last rabi.
The sulphur subsidy has also been increased to Rs 2.87 per kg from Rs 2.61 per kg, representing a 10% increase over kharif and approximately 63% over the previous rabi season. The subsidy for nitrogen (Rs 43.02 per kg) and potash (Rs 2.38 per kg) remains at the same level.
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The decision is the result of several significant increases in worldwide raw material prices for phosphoric acid (which has gone up from $1,055 to $1,258 per tonne) and sulphur (which has increased from $150 to $288 per tonne) over the last few months. The price of one of the key raw materials for fertilizers, Di-ammonium Phosphate (DAP), also went up by 16% to $790 per ton.
Information and Broadcasting Minister Ashwini Vaishnaw said that the newly fixed subsidy, which is almost Rs 14,000 crore more than the last rabi, will be instrumental in ensuring that fertilizers are available at affordable prices without the need for increasing retail prices.
The NBS scheme which has been operational since 2010 is still allowing farmers to get phosphatic and potassic fertilizers of good quality at reasonable prices.
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