Cabinet Approves Rs 37,216 Crore Subsidy For Fertilizers To Help Farmers In Kharif Season

The Union Cabinet, chaired by Prime Minister Narendra Modi, on Friday approved a ₹37,216.15 crore subsidy for fertilizers.

The scheme will provide farmers with fertilizers at reasonable prices during the Kharif season from April 1 to September 30, 2025.

The budget for the Kharif subsidy is ₹13,000 crore more than the Rabi season subsidy for 2024-25.

The official statement released after the Cabinet meeting confirmed this increase.

“The subsidy on phosphatic and potassic (P&K) fertilizers, including NPKS grades, will follow approved rates for Kharif 2025. The government aims to ensure a steady supply of these fertilizers at affordable prices for farmers,” the statement said.

The subsidy will go directly to fertilizer companies based on notified rates. This will help them supply fertilizers to farmers at reduced prices, ensuring affordability.

The government provides 28 grades of P&K fertilizers at subsidized rates through manufacturers and importers.

The nutrient-based subsidy (NBS) scheme governs this process. The NBS scheme has been in effect since April 1, 2010.

“The government remains committed to making P&K fertilizers affordable for farmers. It is closely monitoring international prices of fertilizers and key inputs like Urea, DAP, MOP, and Sulphur,” the statement said.

The government has also extended the freight subsidy on Single Super Phosphate (SSP) for Kharif 2025. This decision will further help farmers by reducing transportation costs.

“Subsidizing P&K fertilizers ensures farmers receive essential nutrients at fair prices. Healthy soil leads to better harvests and strengthens food security. The approval of subsidy rates highlights the government’s focus on agriculture and farmers’ welfare,” the statement added.

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