Cabinet approves nutrient based subsidy rates for P&K Fertilizers for FY20

New Delhi: The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi on Thursday approved the proposal of the Department of Fertilizers for fixation of Nutrient Based Subsidy Rates for P&K Fertilizers for the year 2019-20.

The approved rates for NBS effective from the date of notification will be Rs 18.90 per kg for Nitrogen, Rs 15.21 per kg for Phosphorus, Rs 11.12 per kg for Potash and Rs 3.56 per kg for Sulphur.

The expected expenditure for release of subsidy on P&K Fertilizers during 2019-20 will be Rs. 22875.50 crore, an official release said.

This will enable the manufacturers and importers to formalize supply contracts for fertilizers and fertilizer inputs and make fertilizers available to the farmers in the year 2019-20.

“Government is making available fertilizers, Urea and 21 grades of P&K fertilizers to farmers at subsidized prices through fertilizer manufacturers/importers. The subsidy on P&K fertilizers is being governed by NBS Scheme w.e.f 01.04.2010,” the release said.

“In accordance to its farmer friendly approach, the Govt is committed to ensure the availability of P&K fertilizers to the farmers on affordable price,” it added.