Cabinet okays subsidy hike for P&K fertilisers in Kharif season

The government has announced an augmentation of nutrient-based subsidy rates for phosphatic and potassic (P&K) fertilisers during the Kharif season (April to September). This move aims to shield farmers from the rising costs of fertilisers caused by disruptions in the supply chain and increased expenses for raw materials.

The Cabinet has given the green light to a subsidy totaling Rs 60,939.23 crore, encompassing support for indigenous fertilisers through freight subsidy and additional assistance for both domestic manufacturing and imports of Di-ammonium phosphate (DAP). Cabinet Minister Anurag Thakur emphasized that this subsidy is specifically designated for the Kharif period. In the previous fiscal year (2021-2022), the annual subsidy amounted to Rs 57,150 crore.

The government clarified that the Center has predominantly absorbed the escalated international prices of DAP and its raw materials. Additionally, the Cabinet has sanctioned a subsidy of Rs 2,501 per bag on DAP, marking a 50% increase from the previous year’s subsidy of Rs 1,650 per bag. Thakur indicated that the subsidy could be extended beyond the Kharif period if deemed necessary.

In another Cabinet decision, Thakur announced a plan to enhance 4G telecom connectivity in areas impacted by Left-wing extremism (LWE). A total of 2,542 cell towers in 10 states, all situated in Naxal-affected regions, will undergo upgrades at a cost of Rs 2,426 crore. State-owned BSNL, responsible for the LWE Phase-1 sites, will maintain them for a duration of five years.