Question : CHANGE IN NUTRIENT BASED SUBSIDY SCHEME FOR FERTILIZERS



(a) whether the Government proposes to make any change in the new Nutrient Based Subsidy Scheme for fertilizers;

(b) if so, the reasons therefor; and

(c) the time by which such change is likely to come into effect ?

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SHRI SRIKANT KUMAR JENA)

(a) & (c): In the context of Nation`s food security, the declining response of agricultural productivity to increased fetilizer usage in the country and to ensure the balanced applicatin of fertiilizers, the Government has intorduced the Nutrient Based Subsidy (NBS) Policy with effect from 1.4.2010 for decontrtolled P & K fertilizers (w.e.f. 1.5.2010 for SSP). As per this policy, the fertilizers namely DAP, MOP, NPKS Complexes, MAP, TSP, Ammonium Sulphate (AS) and Single Super Phosphate (SSP) are provided to the farmrs at the subsidized rates based on the nutrients (`N`, `P`, `K` & `S`) contained in these fertilizers. Additional subsidy is also provided on the fertilizers fortified with secondary and mocronutrients as per the Fertilizer Control Order such as Boron and Zinc. NBS has been announced for 2010-11 on annual basis based on prevailing international prices and price trends. Since this scheme has just been launched about 3 months ago, therefore at present, Government is not considering any change in the NBS. Subsidy under the NBS is being released through the manufacturers/ importers.