Cabinet approves Rs 37,952 crore for nutrient-based fertiliser subsidy

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The North News

New Delhi, October 28

Union Cabinet, chaired by Prime Minister Narendra Modi, has approved a nutrient-based subsidy of ₹37,952 crore for the Rabi 2025–26 season on phosphatic and potassic (P&K) fertilisers. The decision aims to ensure the availability of these fertilisers to farmers at affordable prices during the upcoming crop season. The budgetary allocation for Rabi 2025–26 is around ₹736 crore higher than for the Kharif 2025 season. Subsidies will be provided on fertilisers such as Di-Ammonium Phosphate (DAP) and NPKS (Nitrogen, Phosphorus, Potash, Sulphur) grades at approved rates to keep prices stable for farmers.

The government currently offers 28 grades of P&K fertilisers, including DAP, through manufacturers and importers under the Nutrient Based Subsidy (NBS) Scheme, which has been in effect since April 2010. The revised NBS rates will apply from 1 October 2025 to 31 March 2026, taking into account recent trends in international prices of fertilisers and inputs such as urea, DAP, MOP and sulphur. The subsidy will be paid directly to fertiliser companies to maintain affordability for farmers.

Officials said the move reflects the government’s “farmer-first” approach, ensuring uninterrupted supply of essential inputs during the Rabi season while rationalising subsidies in line with global price trends.