Subsidy on Single Super Phaosphate increased from Rs.650 per MT to Rs.975 per MT

for Ministry of Chemicals and Fertilizers | Date - 22-09-2005


The Government has decided to increase the ah-hoc subsidy on Single Super Phosphate (SSP) from Rs. 650 per MT to Rs.975 per MT.

This increase in subsidy of SSP will help to revive the SSP industry and will also help to reduce the pressure on the Government from the international suppliers of phosphoric acid and DAP manufacturers.

SSP is poor man’s fertilizers and is mostly used by low and marginal farmers who are dependent on rain. The SSP availability to the farmers over the last few years were declining continuously and this was also affecting the SSP industry adversely. The closure of this industry in last few years has rendered lots of rural people jobless.

The Government has been receiving representation from farmers, farmer associations and small industry players for non-availability of this important poor man’s fertilizers and also about sickening of the industry.

At present, there are 70 manufacturers of SSP with installed capacity of 64 lakh MT whereas actual production has come down to 23 lakh MT, which is only 36% of installed capacity. The consumption of SSP and DAP in 2002-03 has been 25 lakh tones and 55 lakh tones respectively. The consumption of SSP has come down from 84 per cent of DAP in 1991 to 46% of DAP consumption in 2002-03.

SSP contains 16 per cent Phosphate as against 46 % in DAP. In addition, SSP contains other nutrients such as Sulpher, Calcium and Pyrites.

SKM:PM
(Release ID :12159)

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