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Home>>Business>>Govt caps fertiliser prices to shield farmers from global volatility
Business

Govt caps fertiliser prices to shield farmers from global volatility

international media news
March 11, 2026 84 Views0

The Union Government is shielding Indian farmers from international market fluctuations by ensuring the availability of key fertilisers at affordable rates for the ongoing Rabi 2025-26 season, the Parliament was informed on Tuesday. 

In a comprehensive update on the fertiliser sector, the Ministry of Chemicals and Fertilisers announced that the Maximum Retail Price (MRP) of di-ammonium phosphate (DAP) has been maintained at a stable Rs 1,350 per 50 kg bag.

 
 

To achieve this price stability for DAP, the government has implemented special provisions of Rs 3,500 per metric tonne (MT) to cover other costs, including logistics from factory to farm gate, GST components, and a guaranteed 4 per cent reasonable return for manufacturers. This move ensures that despite shifts in global prices, the financial burden does not shift to the farmer, Minister of State for Chemicals and Fertilisers Anupriya Patel told the Rajya Sabha in a written reply to a question.

As of March 5, the availability of phosphatic and potassic (P&K) fertilisers has remained adequate across the country. Nationwide data indicate that the availability of DAP stands at 71.89 lakh metric tonnes (LMT) against a pro-rata requirement of 51.38 LMT, while the availability of MOP is recorded at 18.17 LMT against a requirement of 14.18 LMT. In the case of NPKS, the total availability is at 108.39 LMT, which significantly exceeds the pro-rata requirement of 76.48 LMT.

The Ministry utilises the integrated Fertiliser Management System (iFMS), an online web-based platform, to monitor the movement of all subsidised fertilisers in real-time. This is supported by close coordination with the Ministry of Railways to prioritise rake movement and ensure timely evacuation of stocks to various states.

Promoting balanced nutrition under the revised Nutrient Based Subsidy (NBS) framework, the government has incorporated additional fertiliser grades such as 10:26:26 and 12:32:16. By providing subsidies based on the specific nitrogen (N), phosphorus (P), and Potash (K) content, the NBS policy empowers farmers to choose nutrients based on specific crop and soil requirements, the minister said.

The average retail prices for other key grades (per 50 kg bag) for the 2025-26 period are: NPK 10-26-26: Rs 1,814.82, NPK 12-32-16: Rs 1,711.87 and muriate of potash (MOP): Rs 1,710.54

This strategic framework not only facilitates balanced nutrient application but also aims to reduce the excessive reliance on urea, thereby preserving soil health, the minister said.

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