Parliament Question: Nutrient Based Subsidy Scheme

GOVERNMENT OF INDIA MINISTRY OF CHEMICALS AND FERTILIZERS DEPARTMENT OF FERTILIZERS LOK SABHA STARRED QUESTION NO. 195* TO BE ANSWERED ON: 31.07.2026 Nutrient Based Subsidy Scheme *195. SHRI NAVEEN JINDAL: Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state: (a) the total subsidy outlay under the Nutrient Based Subsidy (NBS) scheme for the current financial year; (b) whether the Government proposes to revise the present price of urea which has remained unchanged since March 2018, if so, the details thereof; and (c) special subsidy, if any, being extended for DAP in view of rising global prices? ANSWER THE MINISTER IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SHRI JAGAT PRAKASH NADDA) (a) to (c): A statement is laid on the table of the House. ******-2- STATEMENT REFERRED TO LOK SABHA STARRED QUESTION NO 195* FOR 31.07.2026 REGARDING “NUTRIENT BASED SUBSIDY SCHEME” TABLED BY SHRI NAVEEN JINDAL ----------- (a): For Kharif 2026, under Nutrient Based Subsidy (NBS) Scheme, the Government has approved Rs. 41,533.81 crore as subsidy to ensure availability of Phosphatic & Potassic (P&K) fertilizers. (b): No Sir, as of now, there is no such proposal of the Government to revise the present price of Urea. (c): In case of Phosphatic and Potassic (P&K) fertilizers, Government has implemented Nutrient Based Subsidy (NBS) Policy w.e.f. 01.04.2010. Under NBS policy, MRP of P&K fertilizers is decontrolled and companies are free to fix MRP as per their business dynamics at a reasonable level. The Government monitors international prices of key fertilizers and raw materials and fluctuations, if any, are subsumed while fixing NBS rates for P&K fertilizers annually / bi-annually to ensure affordable supply of P&K fertilizers to the farmers. Relevant factors like requirement of nutrients in the country, balanced use of fertilizers, subsidy burden and MRP of fertilizers are taken into account while recommending the subsidy rates for different nutrients. Further, to make Di-Ammonium Phosphate (DAP) which is a key fertilizer, available at affordable price of Rs. 1350 per 50 kg bag, special provisions like Rs. 3500 per MT to cover 'Other Costs' which includes costs incurred from factory gate to farm gate, advantage / disadvantage due to increase / decrease in international prices, provision for GST component included in the MRP and provision for reasonable return @ 4% of net MRP (MRP-GST) have been extended to both imported and domestic DAP over and above NBS subsidy for the said period. *****