Government Increases Fertilizer Subsidy for 2025 Rabi Season

The Indian government, in a major move on Tuesday, sanctioned a hefty subsidy of Rs 37,952 crore dedicated to phosphorous and potassic fertilizers for the 2025-26 rabi season. This decision aims to alleviate costs for farmers as they embark on the winter planting season.

The Cabinet, chaired by Prime Minister Narendra Modi, authorized a subsidy rate of Rs 43.02 per kg for Nitrogen, Rs 47.96 per kg for Phosphorous, Rs 2.38 per kg for Potash, and Rs 2.87 per kg for Sulphur. This subsidy is significantly higher, by about Rs 14,000 crore, compared to the previous year, Information and Broadcasting Minister Ashwani Vaishnaw announced to the press.

Under the Nutrient Based Subsidy (NBS) Scheme, the subsidy rates are established while considering import prices and various influencing factors like nutrient requirements, subsidy burden, and market price. These rates will be enforceable from October 1, coinciding with the commencement of the rabi sowing in India, highlighting key crops like wheat, mustard seed, and gram.