Cabinet Approves Extension Of Special Package For DAP Fertilisers To Farmers

The Union Cabinet, chaired by Prime Minister Narendra Modi, has extended the One-time Special Package for Di-Ammonium Phosphate on Wednesday. This extension will be effective from January 1, 2025. This will continue until further orders, ensuring the sustainable availability of DAP at affordable prices for farmers.

Under the proposal, a Special Package of Rs 3,500 per metric ton (MT) will be provided on top of the existing National Biodiversity Subsidy (NBS), further reducing the financial burden on farmers.

Meanwhile, the extension is part of the government’s ongoing commitment to farmers’ welfare and aims to ensure a steady supply of essential fertilizers, such as DAP, at affordable prices. The Special Package will help maintain agricultural productivity by providing much-needed support during crucial periods in the farming calendar.

Cabinet’s Long-Term Support NBS Scheme

Since April 2010, the government has been subsidizing 28 grades of Phosphatic and Potassic (P&K) fertilizers, including DAP, through the NBS Scheme. This program allows farmers to purchase fertilizers at reduced prices from manufacturers and importers.

Despite global challenges, including geopolitical constraints and market volatility, the government has remained committed to keeping fertilizer prices affordable for the agricultural community.

Previous Package For DAP By Cabinet

In July 2024, the Cabinet approved a similar One-time Special Package for DAP, covering the period from April 1, 2024, to December 31, 2024, with an estimated financial outlay of Rs 2,625 crore. This initiative was designed to stabilize DAP prices during critical agricultural seasons, furthering the government’s farmer-friendly policies.

Through these continuous efforts, the government has reinforced its focus on supporting farmers by ensuring the availability of essential agricultural inputs at reasonable prices, despite external market challenges.

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