Ministry of Chemicals and Fertilizers :
Department of Fertilizers
azadi ka amrit mahotsav

Government Strengthens Measures to Ensure Timely Fertilizer Availability and Curb Black Marketing


Over 4.84 Lakh Raids Conducted in 2025 Against Black Marketing, Hoarding and Diversion of Fertilizers

Affordable Fertilizers Ensured Through Urea Subsidy, NBS Scheme and Continuous Supply Monitoring

प्रविष्टि तिथि: 28 JUL 2026 4:11PM by PIB Delhi

The Government of India has reiterated its commitment to ensuring the timely and adequate availability of fertilizers to farmers while taking stringent action against black marketing, hoarding, diversion and sale of sub-standard fertilizers. A comprehensive mechanism has been put in place to ensure uninterrupted fertilizer supplies, maintain affordability and strengthen enforcement across the country.

To ensure seamless availability of fertilizers during every cropping season, the Department of Agriculture & Farmers Welfare (DA&FW), in consultation with State Governments, assesses the State-wise and month-wise fertilizer requirement before each season. Based on these projections, the Department of Fertilizers allocates adequate quantities through monthly supply plans and continuously monitors availability. The movement of all major subsidized fertilizers is tracked through the Integrated Fertilizer Management System (iFMS). The Government also finalizes fertilizer imports well in advance to bridge the gap between domestic production and demand, coordinates with manufacturers and importers for timely supplies, works closely with the Ministry of Railways for priority movement of fertilizer rakes, and State Governments oversee district-level distribution. As a result, adequate availability of Urea, DAP, MOP and NPKS was maintained across all States and Union Territories during FY 2025-26. State-wise details are provided in the below.

 

UREA

DAP

MOP

NPKS

All India

Requirement

Availability

DBT Sales

Requirement

Availability

DBT Sales

Requirement

Availability

DBT Sales

Requirement

Availability

DBT Sales

 

Total

381.45

450.79

396.60

110.42

121.72

100.80

26.82

30.58

22.56

158.49

198.97

150.37

 

 

The Government continues to ensure that fertilizers remain affordable for farmers through the Urea Subsidy Scheme and the Nutrient Based Subsidy (NBS) Scheme. Under the Urea Subsidy Scheme, the Maximum Retail Price (MRP) of a 45 kg bag of urea remains ₹242 per bag (exclusive of neem coating charges and applicable taxes), with the difference between the delivered cost and market realization reimbursed to manufacturers/importers as subsidy. Under the NBS Scheme, implemented since 1 April 2010, subsidy is provided on notified Phosphatic and Potassic (P&K) fertilizers based on nutrient content and Point of Sale (PoS) sales. To keep DAP affordable at ₹1,350 per 50 kg bag during Kharif 2026, the Government has extended additional support of ₹3,500 per metric tonne over and above the NBS subsidy to imported and domestic DAP and imported TSP. This support covers transportation costs, international price fluctuations, GST component included in the MRP and a reasonable return of 4% of net MRP (excluding GST).

To further strengthen the P&K fertilizer sector, the Government has issued guidelines dated 18 January 2024 on the reasonableness of MRP, providing reasonable profit margins of 8% for importers, 10% for manufacturers and 12% for integrated manufacturers. New manufacturing units and expansion of existing capacities have been recognized under the NBS Scheme, while the number of fertilizer grades covered under the scheme has increased from 22 in 2021 to 28. Freight subsidy on Single Super Phosphate (SSP) has also been continued since Kharif 2022 to promote the use of indigenously manufactured phosphatic fertilizers. Nutrient subsidy rates are reviewed on a biannual basis to ensure continued availability of fertilizers.

The Government is also closely monitoring enforcement actions against black marketing, hoarding, diversion and sale of sub-standard fertilizers. According to information received from DA&FW, 4,84,663 raids were conducted across the country during 2025, leading to the issuance of 17,392 show-cause notices, suspension or cancellation of 6,941 licences, and registration of 847 FIRs against defaulters. DA&FW regularly follows up with State Governments to ensure strict enforcement and prevent malpractices. Fertilizer requirements are assessed through Zonal Conferences for Agricultural Inputs, where States and Union Territories project their seasonal demand based on gross cropped area, irrigated area, fertilizer consumption patterns and crop-wise nutrient recommendations linked to soil health.

The Government has also taken several measures to ensure the availability of safe and quality pesticides. The Registration Committee constituted under the Insecticides Act, 1968 registers pesticides only after evaluating their efficacy and safety. The Department of Agriculture & Farmers Welfare periodically reviews registered pesticides based on scientific evidence, reports from State Governments and international developments relating to toxicity or environmental concerns. Registered pesticides, when used in accordance with prescribed label claims and leaflets, do not pose harm to human beings, animals or the environment.

To monitor pesticide residues, the Government has been implementing the Monitoring of Pesticide Residues at National Level (MPRNL) project since 2005-06. Under the project, 40 NABL-accredited laboratories analyse samples of vegetables, fruits, spices, cereals, pulses, herbs, fish and marine products, meat, eggs, tea, milk and water collected from across the country. Monthly reports on pesticide residues, including samples exceeding the Maximum Residue Limits (MRLs) prescribed by the Food Safety and Standards Authority of India (FSSAI) and cases of off-label pesticide use, are shared with State Agricultural Departments to promote safe and judicious pesticide use and encourage Integrated Pest Management (IPM) practices.

The Ministry also implements the provisions of the Insecticides Act, 1968 and the Insecticides Rules, 1971 to ensure the availability of quality pesticides. Insecticide Inspectors appointed by the Central and State Governments regularly collect samples from manufacturing units and retail outlets for quality testing. Samples are analyzed by notified Insecticide Analysts, and prosecution is initiated against manufacturers or dealers where samples fail to meet prescribed quality standards. To improve affordability and availability, the Registration Committee grants registrations for generic pesticides expeditiously, with the registration fee under Section 9(4) fixed at ₹25,000, compared to ₹2,25,000 under Section 9(3) of the Act.

This information was provided by Smt. Anupriya Patel, Minister of State in the Ministry of Chemicals and Fertilizers, in a written reply to a question in the Rajya Sabha today.

***

Neeraj Kumar Bhatt/Shatrughna Prasad

cmc.fertilizers[at]gmail[dot]com


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