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VOL. I · EST. 11.2025 
SatyaDheesh
सत्याधीश
India's Ground Truth Record
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Fertilizer prices, subsidies determined by Central government, says official

GS3Economy · S&T · Environment · Security· Farm subsidies & support· Prelims·

Why in news

The Department of Agriculture clarified that the Central government holds sole authority over fertilizer pricing and subsidy allocation to ensure nationwide support for farmers.

Background

The Department of Fertilisers (DoF) under the Ministry of Agriculture & Farmers Welfare manages price fixing and subsidy distribution. The Central government provides an annual subsidy of approximately ₹1.92 lakh crore to farmers.

Facts for Prelims

  • BodyDepartment of Fertilisers (DoF) operates under the Ministry of Agriculture & Farmers Welfare
  • SchemeNutrient-Based Subsidy (NBS) Policy is reviewed twice annually
  • FactCentral government provides a fertilizer subsidy of approximately ₹1.92 lakh crore

For Mains

Q. Discuss the fiscal implications and environmental consequences of the high fertilizer subsidy regime in India. Suggest measures to balance farmer support with soil health.

Dimensions to cover in your answer

  • Fiscal burden: High subsidy outlays impacting the fiscal deficit and necessitating efficient targeting mechanisms
  • Soil degradation: Excessive nitrogenous fertilizer use leading to soil acidity and groundwater nitrate contamination

Keywords: Fiscal deficit · Nutrient-Based Subsidy · Soil degradation · Subsidies · Sustainable agriculture

Read the full news →Report a mistake in this noteHow notes are madeSource: The Hindu ↗Also: GS3 · Fiscal policy, budget & taxation (GST)

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