Ministry of Chemicals and Fertilizers :
Department of Fertilizers
Government Ensures Transparency in Fertilizer Subsidy Disbursement through DBT
Government Highlights Strict Enforcement Measures to Curb Fertilizer Hoarding and Black-Marketing
Posted On:
24 MAR 2026 2:49PM by PIB Delhi
The Government of India has reaffirmed its commitment to ensuring transparency and accountability in the disbursement of fertilizer subsidies under the Direct Benefit Transfer (DBT) system. In a written reply to a question in the Rajya Sabha today, Smt. Anupriya S. Patel, MoS Chemicals and Fertilizers, informed that Direct Benefit Transfer (DBT) system, covered 14.72 crore beneficiaries since its inception in 2017-18. For the current financial year 2025-26, the government allocated ₹2,01,961.50 crore for fertilizer subsidies, with an actual expenditure of ₹1,92,857.77 crore recorded as of March 16, 2026.
The issues of hoarding, diversion and black-marketing, fertilizers are declared as an essential commodity under the Essential Commodities Act, 1955 and notified under Fertilizer Control Order, 1985. State Governments are empowered to take action against persons involved in said malpractices, as per provisions of EC Act.
The sale of subsidized fertilizer to the farmer is mediated via Aadhaar based authentication through Point of Sale (PoS) device installed at Retailer’s level. At present there is a monthly ceiling of 50 bags per buyer, i.e. a total no. of 300 bags per season per buyer. The PoS application has been upgraded to display the past purchased quantity by the buyer against the monthly and seasonal ceiling to introduce transparency to the buyer.
These measures highlight the Government’s resolve to safeguard farmers’ interests, promote balanced fertilizer use, and maintain accountability in subsidy disbursement.
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Neeraj Kumar Bhatt/Shatrughna Prasad/Amit
cmc.fertilizers[at]gmail[dot]com
(Release ID: 2244395)
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