India approves $8 bln subsidy for phosphate-based fertilizers

Madras Fertilizers

27/04/2022 12:25

NEW DELHI, April 27 (Reuters) - India will provide a subsidy
of 609.4 billion rupees ($7.96 billion) for phosphatic and
potash-based fertilisers over the coming months to insulate
farmers from higher global prices, information and broadcasting
minister Anurag Singh Thakur said.
    The subsidy will cover the period to September 2022. India
provided a subsidy of 571.5 billion rupees for the previous 12
month period ending March 31, the minister said. 
    A subsidy of 2,501 rupees for each 50 kg bag of the crop
nutrient diammonium phosphate will retain the price at 1,350
rupees in local markets, the minister said, detailing the
decision taken by the federal cabinet.
    The decision to raise the fertilisers subsidy was taken
after a spike in the prices of crop nutrients in global markets,
mainly due to supply chain disruption after Russia's invasion of
Ukraine, increased freight and rising energy costs.
    ($1 = 76.5400 Indian rupees)

 (Reporting by Nidhi Verma and Manoj Kumar;Editing by Elaine
Hardcastle)
 ((nidhi.verma@thomsonreuters.com; +91 11 49548031; Reuters
Messaging: nidhi.verma.thomsonreuters.com@reuters.net))