The Government of India has undertaken strict enforcement measures to curb hoarding, diversion, and black marketing of fertilizers. In a written reply to a question in the Lok Sabha today, Smt. Anupriya S. Patel, Minister of State for Chemicals and Fertilizers, informed that fertilizers are declared as essential commodities under the Essential Commodities Act, 1955 and notified under the Fertilizer Control Order, 1985, empowering State Governments to take action against offenders. The Department of Agriculture and Farmers Welfare, in consultation with State Governments, regularly monitors enforcement actions on a weekly basis and pursues strict implementation against defaulters.

Since April 2025, enforcement agencies have conducted 4,66,415 raids, issued 16,246 show cause notices, suspended or cancelled 6,802 licenses, and registered 821 FIRs against violators. Specifically, in February 2026, 28 show cause notices were issued, 2 licenses were suspended/cancelled, and 2 FIRs were registered in connection with hoarding cases. These measures reflect the Government’s determination to safeguard farmers from unfair practices.

The availability of fertilizers viz. Urea, DAP, MOP and NPKS has remained adequate in the country during the ongoing Rabi 2025-26 season.

To ensure availability of Urea at affordable price, under the Urea Subsidy Scheme, it is provided to the farmers at a statutorily notified Maximum Retail Price (MRP). The MRP of 45 kg bag of Urea is Rs.242 per bag (exclusive of charges towards Neem coating and taxes as applicable). The difference between the delivered cost of urea at farm gate and net market realization by the urea units is given as subsidy to the urea manufacturer/importer by the Government of India.

In addition, the Government continues to implement the Nutrient-Based Subsidy (NBS) Scheme for Phosphatic and Potassic (P&K) Fertilizers, ensuring affordable supply by adjusting subsidy rates in line with international price fluctuations. 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. Further, to ensure affordability, 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 and imported TSP over and above NBS subsidy for Kharif 2025 and Rabi 2025-26 seasons.

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Neeraj Kumar Bhatt/ Amit Kumar/ Shatrughna Prasad

cmc.fertilizers[at]gmail[dot]com