Indian fertiliser stocks gain on report govt approves subsidy hike

Madras Fertilizers

27/04/2022 08:05

** Shares of fertiliser companies Fertilisers And Chemicals
Travancore  FCTL.NS , Madras Fertilizers  MDFT.NS , National
Fertilizers  NAFT.NS  and Rashtriya Chemicals and Fertilizers
 RSTC.NS  rise between 1% and 3% in a weaker broader market
    ** India cabinet on Wednesday approved an increase in
Phosphatic and Potassic (P&K) fertilizer subsidy for monsoon
sowing season FY23 to 600 bln rupees ($7.83 bln) from 210 bln
rupees, TV channel ET now reported, citing sources  urn:newsml:reuters.com:*:nFWN2WO1OF
    ** Reuters had earlier reported that the govt was likely to
consider raising the country's fertiliser subsidy due to sharp
increase in the prices of crop nutrients in global markets and
rising energy costs  urn:newsml:reuters.com:*:nFWN2WA0NU
    ** India allows companies to fix the retail price of
fertilisers. But to ensure that farmers are not hit by a rally
in global prices, New Delhi provides a subsidy to fertiliser
companies
    ** India has boosted fertiliser imports from nations
including Canada and Israel to ensure sufficient supplies for
summer sowing season due to disruption of shipments caused by
Russia's invasion of Ukraine  urn:newsml:reuters.com:*:nL2N2VJ06Q
    ** Last year, some Indian states faced shortages of
fertilisers after export restrictions by China and a record
surge in global prices
    
   ($1 = 76.6350 Indian rupees)
    

 (Reporting by Nallur Sethuraman in Bengaluru)
 ((Sethuraman.NR@thomsonreuters.com; (+91 8061822737); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))