Home India CHEMICALS AND FERTILIZERS Parliament Question: Demand and Supply of Fertilizers...
Date: 2026-02-13 Category: Not Applicable State: Union Government Country: India

Parliament Question: Demand and Supply of Fertilizers

Issued by CHEMICALS AND FERTILIZERS · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document is a response to Lok Sabha Unstarred Question No. +2514, concerning the demand and supply of fertilizers, specifically urea and DAP, in Bihar. The response, dated February 13, 2026, confirms the fixed MRP of urea and outlines measures taken by the Government to ensure adequate supply and prevent black-marketing. Action is required by State Governments to take action against persons involved in illegal malpractices. **Key Points / Main Content** * **Urea Subsidy Scheme:** * Urea is provided to farmers at a statutorily notified MRP of Rs.242 per 45 kg bag (excluding neem coating charges and applicable taxes). * The Government subsidizes urea manufacturers/importers for the difference between delivered cost and net market realization. * **Fertilizer Supply Management:** * The Department of Agriculture and Farmers Welfare (DA&FW), in consultation with State Governments, assesses the State-wise and month-wise requirement of fertilizers before each cropping season. * The Department of Fertilizers allocates quantities of fertilizers to States and monitors availability. * The movement of subsidized fertilizers is monitored through the integrated Fertilizer Management System (iFMS). * Regular video conferences are conducted by DA&FW and the Department of Fertilizers with State Agriculture Officials. * The distribution of fertilizers within each state is managed by the respective State Government. * **Fertilizer Availability in Bihar:** * Urea and DAP availability has remained adequate in Bihar during 2022-23, 2023-24, and 2024-25. * Information regarding requirement, availability, and sales of fertilizers during the said period is in Annexure-I. * **Prevention of Illegal Practices:** * Fertilizers are declared as an essential commodity under the Essential Commodities Act, 1955, and the Fertilizer Control Order, 1985. * State Governments are empowered to take action against hoarding, diversion, and black-marketing. * Details regarding the enforcement measures taken by the State of Bihar from April 1, 2025 to February 6, 2026, is placed at Annexure-II. **Impact Analysis** **Stakeholder: Farmers** * **Impact:** Access to subsidized urea at a fixed MRP, with assurance of adequate supply. * **Action Required:** None explicitly stated for farmers. **Stakeholder: State Governments** * **Impact:** Responsible for fertilizer distribution within their state. * **Action Required:** Take action against persons involved in malpractices related to hoarding, diversion, and black-marketing of fertilizers. **Stakeholder: Urea Manufacturers/Importers** * **Impact:** Receive subsidies from the Government for supplying urea. * **Action Required:** None explicitly stated for Urea Manufacturers/Importers. **Stakeholder: Department of Agriculture and Farmers Welfare (DA&FW) & Department of Fertilizers** * **Impact:** Responsible for assessing fertilizer requirements, allocating supplies, and monitoring availability. * **Action Required:** None explicitly stated for DA&FW & Department of Fertilizers.

Key Entities Referenced

Ministry of Chemicals & Fertilizers: The primary ministry responsible for overseeing fertilizer production and distribution. Urea Subsidy Scheme: A scheme to provide urea to farmers at a subsidized rate. Fertilizer Control Order, 1985: A regulatory order to maintain the quality and prevent black marketing of fertilizers. Essential Commodities Act, 1955: Act under which fertilizers are declared an essential commodity. Bihar: State to which the questions about urea demand and supply relate.
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GOVERNMENT OF INDIA MINISTRY OF CHEMICALS & FERTILIZERS DEPARTMENT OF FERTILIZERS LOK SABHA UNSTARRED QUESTION NO. +2514 TO BE ANSWERED ON 13.02.2026 Demand and Supply of Fertilizers +2514: Shri Abhay Kumar Sinha: Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state: (a) Whether it is a fact that the Maximum Retail Price (MRP) of urea has been fixed at 242 per 45-kilogram bag by the Government under the One-Nation-One Fertilizer initiative, if so, the allocation and actual supply of urea and DAP to the State of Bihar during the last three financial years 2022-23, 2023-24 and 2024- 25, year-wise; (b) Whether the Government has made any assessment of the data regarding the demand and supply of fertilizers in Bihar during the aforesaid three years, if so, the details thereof for the Aurangabad Parliamentary Constituency; district-wise and year-wise; (c) the number of complaints received during the said period from Aurangabad and other parts of Bihar regarding shortage of fertilizers, delayed supply of tagging of fertilizers, year-wise; and (d) whether the Government has taken any steps to ensure uninterrupted availability of fertilizers and to prevent black-marketing in the said Parliamentary Constituency during the last three years, if so, the details thereof, year-wise? ANSWER THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SMT. ANUPRIYA PATEL) (a) to (d): Under the Urea Subsidy Scheme, Urea is provided to the farmers at a statutorily notified Maximum Retail Price (MRP). The MRP of 45 kg bag of urea is Rs.242 per bag (exclusive of charges towards neem coating and taxes as applicable). The difference between the delivered cost of urea at farm gate and net market realization by the urea units is given as subsidy to the urea manufacturer/importer by the Government of India. Accordingly, all farmers across the country are being supplied urea at the subsidized rate.-2- Further, the following Steps are taken by the Government every season for ensuring timely and adequate supply of fertilizers across the States, including the State of Bihar: i. Before the commencement of each cropping season, Department of Agriculture and Farmers Welfare (DA&FW), in consultation with all the State Governments, assesses the State-wise & month-wise requirement of fertilizers. ii. On the basis of requirement projected by DA&FW, D/o Fertilizers allocates adequate quantities of fertilizers to States by issuing monthly supply plan and continuously monitors the availability. iii. The movement of all major subsidized fertilizers is monitored throughout the country by an on-line web based monitoring system called integrated Fertilizer Management System(iFMS). iv. Regular Weekly Video Conference is conducted jointly by DA&FW and D/o Fertilizers with State Agriculture Officials and corrective actions are taken to dispatch fertilizers as indicated by the State Governments. v. The distribution of fertilizers within the State is done by the respective State Government. Accordingly, the availability of fertilizers viz. Urea and DAP has remained adequate in the State of Bihar during the last three FYs i.e. 2022-23, 2023-24 and 2024-25. The information regarding requirement, availability and sales of these fertilizers during the said period is placed at Annexure-I. Further, in order to address the issues of hoarding, diversion and black-marketing, fertilizers are declared as an essential commodity under the Essential Commodities Act, 1955 and notified under Fertilizer Control Order, 1985. State Governments are empowered to take action against persons involved in said malpractices, as per provisions of EC Act. Any complaints received at Department of Fertilizers level regarding these malpractices is sent to concerned State Government to take appropriate action under Essential Commodities Act, 1955 and Fertilizer Control Order, 1985. Accordingly, the details regarding enforcement measures taken by the State of Bihar, as informed by the State, from 01.04.2025 to 06.02.2026, to curb these malpractices is placed at Annexure-II. ***-3- Annexure-I Annexure referred to in reply to part (a) to (d ) of Lok Sabha Unstarred Question No 2514 for answering on 13.02.2026 BIHAR REQUIREMENT, AVAILABILITY & SALES POSITION OF FERTILIZERS DURING LAST 3 YEARS fig. in LMT UREA DAP S.No Year Requirement Availability Sales Requirement Availability Sales 1 2024-25 22.87 27.64 25.60 5.50 6.40 5.83 2 2023-24 22.63 27.46 23.24 6.82 7.78 6.51 3 2022-23 22.80 24.68 21.96 6.82 7.15 5.66-4- Annexure-II Annexure referred to in reply to part (a) to (d ) of Lok Sabha Unstarred Question No 2514 for answering on 13.02.2026 Cumulative Statement from April 25 to February 26 (as on 06.02.2026) Action taken by the State Government to check black marketing, hoarding, quality check, diversion etc during the Kharif season from April 2025 to February 2026 as on date (06.02.2026) Black Marketing Hoarding Sub Standard Quality Diversion Total Convicti on with details* No. of No. of No. of No. of Show No. of No. of Show licenses FIR Show licenses FIR Show licenses FIR Show licenses FIR cause licenses State Inspections FIR cause cancelle register cause cancelle register cause cancelle register cause cancelle register notice cancelle /raids notice d/su ed notice d/su ed notice d/su ed notice d/su ed issued d/su registered issued spended issued spended issued spended issued spended spended Bihar 23443 1264 797 117 7 0 0 6 0 0 0 0 0 NIL 1277 797 117 Above data has been compiled as reported by State

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