Fertiliser Subsidy Funds Secure, Says Anupriya Patel

New Delhi, Jul 21 (PTI) The Centre has sufficient funds to meet its fertiliser subsidy commitments for 2026-27, having spent Rs 70,709 crore till July 13 -- 39.9 per cent of the total budgetary allocation of Rs 1.77 lakh crore for the year, Parliament was informed on Tuesday.

"Sufficient funds are, therefore, available to meet the subsidy expenditure," Minister of State for Chemicals and Fertilisers Anupriya Patel said in a written reply to the Rajya Sabha.

To cushion against any spike in subsidy requirements stemming from global market volatility, the government has approved Rs 41,533.81 crore under the Nutrient Based Subsidy (NBS) scheme for the Kharif 2026 season, about Rs 3,581 crore more than the amount cleared for Rabi 2025-26.

Patel said the enhanced allocation would help keep Phosphatic and Potassic (P&K) fertilisers affordable and available for farmers.

Under the NBS scheme, in place since 2010, P&K fertilisers fall under Open General Licence, allowing companies to import or manufacture them based on their own business considerations.


The ministry has also lined up steps to guard against supply disruptions during the Kharif season.

Global tenders have secured 25 lakh tonnes of urea in April and a further 17.7 lakh tonnes in June 2026. Separately, a five-year supply arrangement with Oman will bring in 45 lakh tonnes of urea over the period, the minister said in a separate reply.

To cut reliance on a narrow set of source countries, the government is working with Indian missions abroad to identify additional suppliers and diversify the import base, she added.

Fertiliser subsidy disbursed stood at Rs 2.17 lakh crore in 2025-26 against Rs 1.77 lakh crore in 2024-25 and Rs 1.95 lakh crore in 2023-24, Patel said, adding that adequate fertiliser availability has been maintained over the past three years.

As on July 15, closing stocks stood at 69.59 lakh tonnes of urea, 16.45 lakh tonnes of Di-Ammonium Phosphate (DAP), 8.67 lakh tonnes of Muriate of Potash, and 45.24 lakh tonnes of NPKS.

The country also held 22.13 lakh tonnes of indigenously produced Single Super Phosphate (SSP), which serves as a substitute for DAP in supplying phosphatic nutrients to soil, she added.