(a) whether the minimum retail price (MRP) cap on Single Super Phosphate has been removed
by the Government; and
(b) if so, the details and rationale thereof, indicating the price difference between pre
and post removal of Maximum Retail Price of SSP and its impact on agriculture production in the Country?
THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND FERTILIZERS (SHRI SRIKANT KUMAR JENA)
(a) & (b): Government of India is implementing Nutrient Based Subsidy (NBS) Policy for
Single Super Phosphate (SSP) fertilizer w.e.f. 1.5.2010. Earlier, the Government had announced
a uniform all India Maximum Retail Price (MRP) of Rs. 3400 Per MT for SSP, which was
applicable from 1.5.2008 and continued till 30.9.2009. During this period, subsidy for SSP
as provided on the basis of input cost of Rock Phosphate and Sulphur along with other cost.
However, Government announced an ad hoc subsidy of Rs. 2000 per MT w.e.f. 1.10.2009 and the
SSP manufacturers/marketers were allowed to fix any MRP. This continued till 30.4.2010.
During this period, MRP was announced by different manufacturers/marketers in the range of Rs.
4200 to Rs. 5000 per MT (average 4600 per MT). After the introduction of the NBS Policy for
decontrolled Phosphatic & Potassic (P&K) fertilizers including SSP, the Government decided to
fix subsidy in such a manner that the MRP of the fertilizers are not affected adversely and
fixed subsidy of Rs. 4400 per MT for SSP for 2010-11. Since subsidy for SSP increased
substantially, the manufacturers/marketers of SSP were given an option to join the NBS system
by entering into an Memorandum of Understanding (MOU) with Department of Fertilizers to sell
SSP (Powdered) at Rs. 3200 per MT during 2010-11.
Under NBS, production of SSP has increased compared to last year and is increasing further.
Production of SSP from April 2009 to December 2009 was 23.28 lakh MT and has increased to
25.20 lakh MT for the similar period from April 2010 to December 2010.
Higher production and consumption of SSP is a good phenomenon for the Indian Agriculture,
since SSP provides Sulphur and Calcium, which are very important nutrients for the soil.