**Executive Summary**
This document presents the government's response to questions regarding fertilizer subsidies and related issues in Uttar Pradesh, specifically focusing on Urea Subsidy Scheme, Nutrient-Based Subsidy Scheme and Market Development Assistance. It provides information on subsidy disbursement, fertilizer demand-supply assessments, nano fertilizer production, and soil nutrient balance, up to November 2025. Key dates include question date 12.12.2025 and reference to production and sales up to 30.11.2025
**Key Points / Main Content**
* **Fertilizer Subsidy Disbursement:**
* Under the 'DBT in Fertilizers' system, 100% subsidy is released to fertilizer companies based on actual sales to beneficiaries through Aadhar authentication via PoS devices.
* Farmers receive fertilizers at subsidized rates without denial.
* Total expenditure for Urea Subsidy Scheme, Nutrient-Based Subsidy Scheme and Market Development Assistance (implemented w.e.f. 2023-24) is provided for 2022-23, 2023-24, and 2024-25.
* **Fertilizer Demand-Supply Assessment:**
* Government assesses the requirement of major fertilizers (urea, DAP, MOP, complexes, SSP) before each cropping season through "Zonal Conferences for Agricultural Inputs."
* Assessments consider projected gross cropped area, irrigated area, past consumption patterns, and soil fertility status.
* Availability of fertilizers in Uttar Pradesh has been adequate over the last three years.
* Tables showing the Requirement, Availability and DBT sales of Urea, DAP, MOP, and NPKS are included, from 2022-23 to 2024-25.
* **Nano Fertilizer Production:**
* The Government is not directly involved in the setting up of Nano Fertilizers plants.
* Eight Nano Urea and three Nano DAP production units are operational with a combined annual production capacity of 33.22 crore bottles of Nano Urea and 7.64 crore bottles of Nano DAP.
* Additional plants are to be commissioned at Trombay, Deoghar, and Bengaluru.
* Sales figures for Nano Urea and Nano DAP are provided from FY 2021-22 to 2025-26 (up to November 30, 2025).
* **Soil Nutrient Balance:**
* Excessive use of chemical fertilizers, without adequate organic matter, can negatively impact soil health.
* Government promotes integrated nutrient management, soil test-based fertilizer application, neem-coated urea, organic farming practices, and awareness programs to address this.
* No specific report from Uttar Pradesh on soil nutrient imbalance has been received, but ICAR studies show potential deterioration due to excessive chemical fertilizer use.
* **Annexure:**
* State-wise sales of Nano Urea and Nano DAP (from Feb-2021 to Nov-2025).
**Impact Analysis**
**Farmers in Uttar Pradesh**
* **Impact:** Access to subsidized fertilizers via the DBT system, availability of nano fertilizers, and awareness of soil health.
* **Action Required:** Utilize subsidized fertilizers effectively, adopt integrated nutrient management practices, and participate in awareness programs on soil health.
**Fertilizer Companies**
* **Impact:** Receive 100% subsidy based on actual sales via Aadhar authentication through PoS devices.
* **Action Required:** Ensure proper distribution of fertilizers, comply with DBT system requirements, and meet the demand for nano fertilizers.
**Department of Agriculture and Farmers Welfare (DA&FW)**
* **Impact:** Responsible for organizing Zonal Conferences for Agricultural Inputs to assess fertilizer requirements.
* **Action Required:** Accurately project fertilizer requirements for major fertilizers for each State/UT.
**State Governments/UTs**
* **Impact:** Must present their projected fertilizer requirements for each cropping season.
* **Action Required:** Submit accurate and timely fertilizer requirements for major fertilizers at the Zonal Conferences, ensuring that needs are being met.
**Indian Council of Agricultural Research (ICAR)**
* **Impact:** To support integrated nutrient management.
* **Action Required:** Continue to work with the Government to promote integrated nutrient management and soil test-based fertilizer application through Soil Health Card schemes.
**District Magistrates**
* **Impact:** Oversee proper distribution of fertilizers, including remote areas, through a formed committee.
* **Action Required:** Ensure proper distribution of fertilizers including remote areas.
Key Entities Referenced
Ministry of Chemicals and Fertilizers: The central ministry responsible for policies related to chemicals and fertilizers in India, including subsidy schemes.
Uttar Pradesh: The Indian state for which the fertilizer subsidy and related assessments are specifically questioned and addressed.
Urea Subsidy Scheme: A major subsidy scheme for Urea fertilizers, under which subsidies are sanctioned, disbursed and provided to farmers.
Nutrient-Based Subsidy Scheme: Another subsidy scheme for fertilizers, with details of subsidy sanctioned, disbursed and provided to farmers.
Market Development Assistance: Another subsidy scheme for fertilizers, with details of subsidy sanctioned, disbursed and provided to farmers.
GOVERNMENT OF INDIA
MINISTRY OF CHEMICALS AND FERTILIZERS
DEPARTMENT OF FERTILIZERS
LOK SABHA
UNSTARRED QUESTION NO. 2120 TO BE ANSWERED ON 12.12.2025
Fertilizer Subsidy for Uttar Pradesh
2120. Ms Iqra Choudhary:
Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:
(a) the total subsidy sanctioned, disbursed and provided to farmers under the Urea
Subsidy Scheme, Nutrient-Based Subsidy Scheme and Market Development
Assistance during the last three years, particularly for Uttar Pradesh, year-wise
and State/district-wise;
(b) whether any assessments on fertilizer demand-supply gaps and under-utilisation
have been carried out in Uttar Pradesh, if so, the details thereof and the action
taken thereon;
(c) the status of nano urea and nano DAP production units sanctioned, operational
proposed/pending approval and the quantity supplied to farmers since 2022, year
wise and State/district-wise, particularly for Uttar Pradesh; and
(d) whether soil nutrient imbalance or decline in organic carbon linked to excessive
use of urea has been recorded in Uttar Pradesh, if so, the details thereof along
with remedial measures taken in this regard, district-wise?
ANSWER
THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS
(SMT. ANUPRIYA PATEL)
(a): Under ‘DBT in Fertilizers’ system, 100% subsidy on various fertilizer
grades is released to the fertilizer companies (not directly to the farmers), on actual
sales to the beneficiaries based on Aadhar authentication through PoS devices
installed at each retail shop. All farmers (including those in Uttar Pradesh) are being
supplied fertilizers at the subsidized rates on no-denial basis.The details of total expenditure incurred under the Urea Subsidy Scheme,
Nutrient-Based Subsidy Scheme and Market Development Assistance (implemented
w.e.f. 2023-24) during the last three years, year-wise, are as follows:
(Amount in Crore)
Financial Year
Subsidy Schemes
2022-23 2023-24 2024-25
Nutrient Based Subsidy 86122.23 65199.57 52810
Urea Subsidy 168676.70 130220.94 124319.50
Market Development Assistance — 0.00 28.00
Grand Total 254798.93 195420.51 177157.50
(b): In order to ensure the adequate availability of good quality of fertilizers to the
farmers, Government of India assess the requirement of major fertilizers, namely urea,
DAP, MOP, complexes and SSP fertilizers, before each cropping season (viz. Rabi and
Kharif). This assessment is made through “Zonal Conferences for Agricultural Inputs”
organised by the Department of Agriculture and Farmers Welfare (DA&FW). At the
conference, the State Governments/UTs present their projected requirements for major
fertilizers. The requirement of fertilizers is assessed taking into account the projected
gross cropped area, irrigated area, last three seasons’ consumption pattern and crop
wise recommended dose of fertilizers as per soil Health fertility status etc. The
requirement of fertilizers assessed by DA&FW is intimated to the Department of
Fertilizers to ensure seamless availability of fertilizers before the cropping season starts.
District wise supply and availability of fertilizers has been regularly monitored by senior
officers of State Government. In every district, a committee has already been formed
under the chairmanship of District Magistrate to ensure proper distribution of fertilizers
including remote areas.
The availability of fertilizers, viz. Urea, DAP, MOP and NPKS, has remained
adequate in the State of Uttar Pradesh during the last three years. As per the records
available, the details regarding requirement, availability and sales of the fertilizers in
Uttar Pradesh for the past three years are as follows:(Figures in LMTs)
Requirement Availability DBT Sales
2022-23 77.50 87.39 74.72
UREA 2023-24 76.15 91.83 74.53
2024-25 77.00 91.72 79.18
2022-23 24.70 27.69 22.38
DAP 2023-24 24.50 25.76 21.61
2024-25 24.05 21.55 19.51
2022-23 3.36 1.42 1.22
MOP 2023-24 2.35 1.62 1.21
2024-25 1.72 2.50 1.76
2022-23 7.00 6.64 4.79
NPKS 2023-24 9.50 10.13 7.93
2024-25 14.50 12.85 10.50
(c): Government of India is not directly involved in setting up of Nano fertilizers plants.
As of 2025, eight Nano Urea production units and three Nano DAP production units
have been established and are operational in the country. These units together have
an installed annual production capacity of approximately 33.22 crore bottles of Nano
Urea and 7.64 crore bottles of Nano DAP. In addition, 02 more plants of Nano-urea
are to be commissioned at Trombay and Deoghar with a total annual production
capacity of approximately 11 crore bottles and 02 more plants of Nano-DAP are to be
commissioned at Bengaluru and Deoghar with a total annual production capacity of
approximately 12 crore bottles.
Since the introduction of nano-fertilisers, cumulative national production and
sales have progressively increased. Up to November-2025, fertiliser companies have
sold approximately 11.62 crore bottles (500 ml) of Nano Urea and 3.41 crore bottles
(500 ml) of Nano DAP. The year-wise details of sale of Nano Urea and Nano DAP
(introduced in 2023-24) from financial year 2021-22 to 2025-26 (as on 30.11.2025) are
as follows:(500ml Bottles in lakhs)
Financial Year
Total
2021-22 2022-23 2023-24 2024-25 2025-26
Nano Urea 215.20 326.80 207.43 273.55 138.99 1161.97
0.00 0.00 58.00 160.24 122.28 340.52
Nano DAP
The details of State-wise total sales of Nano-Urea and Nano-DAP, from Feb-
2021 to Nov-2025, are attached at Annexure.
(d): Nothing has been reported by the State Government of Uttar Pradesh in this
regard, however the Indian Council of Agricultural Research (ICAR) has informed that
their long-term experiments and related studies have shown that imbalanced and
excessive use of chemical fertilizers, particularly without adequate organic matter, can
deteriorate soil health (decline in soil organic carbon, micronutrient deficiencies, soil
acidity/sodicity), contribute to water pollution through nutrient run-off and leaching
(nitrate contamination, eutrophication), and increase nitrous oxide (N₂O) emissions, a
potent greenhouse gas.
To address this, the Government, with ICAR’s technical support, is promoting
integrated nutrient management (balanced NPK use with farmyard manure, compost,
green manures and biofertilizers), soil test–based fertilizer application through Soil
Health Card schemes, site-specific nutrient management and neem-coated urea to
improve nitrogen use efficiency, promotion of organic/natural farming and
conservation agriculture practices, use of customized/slow-release fertilizers and 4R
nutrient stewardship (right source, right dose, right time, right method), and capacity
building/awareness programs to reduce nutrient losses, maintain soil fertility, correct
nutrient imbalances, and lower pollution and greenhouse gas emissions.
*******Annexure
Annexure referred to in reply to part (c) of Lok Sabha Unstarred
Question No. 2120 for answer on 12.12.2025
(Figures in Lakhs bottles of 500 ml each)
State-wise Sale of Nano Urea and Nano DAP (From Feb-2021 to Nov-2025)
S.No State/UT Nano Urea Nano DAP
1 Andaman & Nicobar 0.00 0.00
2 Andhra Pradesh 21.69 22.81
3 Arunachal Pradesh 0.00 0.00
4 Assam 39.05 3.43
5 Bihar 72.93 10.58
6 Chandigarh 0.00 0.00
7 Chhattisgarh 26.89 7.85
8 Dadra and Nagar Haveli 0.00 0.00
9 Daman and Diu 0.00 0.00
10 Delhi 0.71 0.02
11 Goa 0.00 0.00
12 Gujarat 90.41 16.62
13 Haryana 54.39 4.99
14 Himachal Pradesh 7.05 0.41
15 Jammu and Kashmir 9.62 1.00
16 Jharkhand 14.59 1.64
17 Karnataka 67.60 30.44
18 Kerala 4.10 0.63
19 Lakshadweep 0.00 0.00
20 Madhya Pradesh 92.00 32.41
21 Maharashtra 104.85 54.57
22 Manipur 0.71 0.00
23 Meghalaya 0.01 0.01
24 Mizoram 0.85 0.08
25 Nagaland 0.01 0.00
26 Odisha 35.01 10.76
27 Puducherry 0.11 0.10
28 Punjab 98.10 12.28
29 Rajasthan 93.38 25.63
30 Sikkim 0.00 0.00
31 Tamil Nadu 39.03 9.21
32 Telangana 28.78 15.73
33 Tripura 0.21 0.00
35 Uttar Pradesh 142.43 38.54
34 Uttarakhand 34.39 17.50
36 West Bengal 83.07 23.26
*******