Union Cabinet approves Nutrient Based Subsidy

On April 22, 2020, the Union Cabinet approved to fix Nutrient Based Subsidies for Phosphatic Potassic fertilizers.

Highlights

The cabinet also approved the use of complex fertilizer namely Ammonium Phosphate. The expenditure to be spent on the subsidy of the fertilizer is expected to be Rs 22,186 crores.

The nitrogenous fertilizers are to be provided at the rate of Rs 18.78 per kg, Phosporous at Rs 14.88 per kg, Potash at Rs 10.11 per kg and Sulphur at Rs 2.37 per kg.

Background

The Government of India has been providing potassium and phosphorous fertilizers to farmers in subsidy rates. These subsidies are governed by the NBS scheme that was launched in 2010.

Nutrient Based Subsidy Scheme

Under the scheme, the fertilizers except urea are to be provided to the farmers at subsidized rates. The scheme focuses on secondary nutrients such as N,P,K and S and also micro nutrients.

Month: Current Affairs - April, 2020