(a) whether the Government proposes to provide the fertilizers in the country at the reduced rates through Public Distribution system;
(b) if so, the details thereof; and
(c) if not, the time by which such proposal is likely to be implemented?
(a) whether the Government proposes to provide the fertilizers in the country at the reduced rates through Public Distribution system;
(b) if so, the details thereof; and
(c) if not, the time by which such proposal is likely to be implemented?
MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND FERTILIZERS (SHRI SRIKANT KUMAR JENA)
(a) : No, Madam.
(b) & (c) : Department of Fertilizers is implementing two fertilizer subsidy
schemes viz. New Pricing Scheme for Urea and Nutrient Based Subsidy Policy for
decontrolled Phosphatic & Potassic fertilizers, whereby the farmers are provided
fertilizers at the subsidized prices on 20 grades of fertilizers including Urea. The
MRP of the fertilizers has been kept invariably lower than the actual cost of the
fertilizers so as to provide the same to the farmers at the affordable prices. The
MRP of fertilizers was indicated by the Government prior to 31.12.2010 and the
same has been decontrolled w.e.f. 1.4.2010 and accordingly, it is fixed by the
manufacturers/importers of the fertilizers. The difference between the actual cost
and the MRP of the fertilizers is reimbursed by the Government in the form of
subsidy to the manufacturers/importers. As on today, the farmers have to pay only
25-40% of the actual cost of the fertilizers in the form of MRP. Though, the
fertilizers are not provided to the farmers through the Public Distribution system at
present, Government is examining to transfer the subsidy direct to the farmers
instead of the present system of releasing subsidy through the fertilizer industry.