Cabinet approves Nutrient Based Subsidy (NBS) rates for Kharif Season, 2026 (from 01.04.2026 to 30.09.2026) on Phosphatic and Potassic (P&K) fertilizers

**Executive Summary** The Union Cabinet has approved the Nutrient Based Subsidy (NBS) rates for Phosphatic and Potassic (P&K) fertilizers for the Kharif Season 2026, spanning from April 1, 2026, to September 30, 2026. The initiative involves a tentative budgetary requirement of Rs. 41,533.81 crore, an increase of approximately Rs. 4,317 crore over the previous year's Kharif budget. The primary purpose is to ensure that farmers have access to 28 grades of fertilizers at subsidized and affordable prices. **Key Points / Main Content** **Subsidy Scope and Timeline** * The approved NBS rates are specifically for the Kharif Season 2026, effective from 01.04.2026 to 30.09.2026. * The subsidy covers 28 grades of P&K fertilizers, including Di-Ammonium Phosphate (DAP) and NPKS grades. * Subsidies will be provided directly to fertilizer companies based on notified rates to maintain market affordability. **Budgetary Allocations** * The estimated budget for Kharif 2026 is Rs. 41,533.81 crore. * This represents a significant increase from the Kharif 2025 budget, which was Rs. 37,216.15 crore. **Market Context and Governance** * The subsidy rates were determined in response to recent international price trends for fertilizers and inputs such as Urea, DAP, Muriate of Potash (MOP), and Sulphur. * The subsidy framework remains governed by the Nutrient Based Subsidy Scheme, which has been in effect since April 1, 2010. **Impact Analysis** **Farmers** **Impact** Farmers will benefit from the continued availability of essential P&K fertilizers at subsidized, stable, and affordable prices during the Kharif 2026 planting season. **Action Required** Farmers should procure required fertilizer grades through authorized channels at the government-subsidized rates during the specified season. **Fertilizer Manufacturers and Importers** **Impact** These entities will receive subsidy payments from the government based on the newly approved and notified NBS rates for 28 grades of fertilizers. **Action Required** Manufacturers and importers must ensure the smooth supply and availability of fertilizers to the market at the prices mandated by the subsidy framework. **Ministry of Chemicals and Fertilizers (Department of Fertilizers)** **Impact** The Department is responsible for implementing the strategy and managing the approximate Rs. 41,533.81 crore budgetary requirement. **Action Required** The Department must notify the approved rates and oversee the implementation of the NBS scheme to ensure fertilizers reach farmers effectively between April and September 2026.

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