Government Assures Fertiliser Availability Amid Global Price Surge

Government Takes Proactive Measures to Ensure Fertiliser Supply

The Department of Fertilisers (DoF) has confirmed that it is actively managing the supply of critical raw materials, specifically ammonia and sulphur, to prevent any disruptions in domestic fertiliser production. This move comes as regional instability in West Asia threatens the supply lines for these essential intermediates.

During the Inter-Ministerial Briefing on recent developments in West Asia, Aparna S Sharma, Joint Secretary, Department of Fertilisers, explained that the government is coordinating with fertiliser and oil companies to manage domestic availability efficiently. The government is redirecting surplus ammonia generated by urea-producing companies for use by PNK fertiliser companies to ensure a balanced supply within the sector.

Under the existing fertiliser policies, the price of urea bags remains fixed, while DAP prices are currently fixed at Rs 1,350 per 50 kg bag under the nutrient-based subsidy framework. The government is also promoting balanced fertiliser usage across the country and has directed states to monitor hoarding, diversion, and black marketing.

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

According to Sharma, around 51% of the stock required for the season is already available, while additional imports and domestic production continue as scheduled. The government continues to provide financial assistance to fertiliser companies under existing policy frameworks to maintain liquidity amid rising global fertiliser prices.

The government has also directed state-level interventions to prevent misuse and excessive use of fertilisers. Agricultural universities and the Indian Council of Agricultural Research (ICAR) are promoting balanced and alternate fertiliser usage to improve efficiency and reduce excessive dependence on chemical fertilisers.