DAP Fertilizers subsidy: Last month, the Center had decided to increase the subsidy on DAP fertilizers by 140 percent. This decision was taken at a high level meeting chaired by Prime Minister Narendra Modi.
Farmers will continue to get DAP at the old rate of Rs 1,200 per bag.
DAP Fertilizers subsidy: The Union Cabinet on Wednesday approved an increase of Rs 700 per bag in subsidy on DAP fertilizers. This has put an additional financial burden of Rs 14,775 crore on the exchequer. Through this decision, the government wants to ensure that DAP fertilizers are accessible to farmers at the old rates, despite the increase in global prices.
After urea, di-ammonium phosphate (DAP) is the second most consumed fertilizer in the country. Last month, the Center had decided to increase the subsidy on DAP fertilizer by 140 per cent. This decision was taken at a high level meeting chaired by Prime Minister Narendra Modi. Briefing the media, Minister of State for Chemicals and Fertilizers Mansukh Mandaviya on Wednesday said that the Cabinet has approved to increase the subsidy amount for DAP fertilizer for the benefit of farmers. “Farmers will continue to get DAP at the old rate of Rs 1,200 per bag,” he said.
50 kg sack
A sack contains 50 kg of manure. According to him, to give relief to the farmers, the subsidy of DAP fertilizer has been increased from Rs 500 per bag to Rs 1,200 per bag. The minister also said that the additional subsidy burden on the exchequer would be Rs 14,775 crore. Last year, the actual price of DAP was Rs 1,700 per bag, on which the central government was giving a subsidy of Rs 500. That’s why companies were selling fertilizers to farmers at Rs 1,200 per sack.
DAP price reaches Rs 2400
With the rise in global prices, the actual price of DAP has touched Rs 2,400 per bag. To ensure that farmers get DAP at the old rate of Rs 1,200 per bag, the Center has decided to increase the subsidy to Rs 1,200 per bag. Mandaviya said that the government is giving an average subsidy of Rs 900 per bag on urea. However, he added that the government provides a certain amount of subsidy on non-urea fertilizers, including DAP.
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