Cabinet Approves Rs 3,850 Crore Special Package For DAP Fertilisers
The government has approved the extension of a one-time special package of Rs 3,850 crore for diammonium phosphate fertilisers on Wednesday. Farmers will get DAP at Rs 1,350 per bag of 50 kg; however, the extra burden will be borne by the government, said Union Minister Ashwini Vaishnaw in a press conference.
Geopolitical tensions and war situations have made the global market prices of DAP more volatile, Vaishnaw said on Wednesday. The extension on the package is beyond the National Budget Support subsidy of Rs 3,500 per MT.
This move by the government is to ensure farmers can buy DAP at a subsidised, affordable, and reasonable price.
A total of 28 grades of P&K fertilisers are made available to farmers at subsidised rates through manufacturers and importers. The subsidy on P&K fertilisers is governed by the NBS Scheme, effective from April 1, 2010.
In July 2024, the Cabinet approved a one-time special package for DAP, providing an additional subsidy of Rs 3,500 per metric tonne beyond the NBS subsidy, from April 1 to Dec. 31, 2024, with an estimated financial impact of Rs 2,625 crore.
Prime Minister Narendra Modi hailed the cabinet's decision, saying the policies are aimed at enhancing the prosperity for Indian farmers.
"Ours is a Government fully committed to furthering welfare of farmers. We are proud of all our farmer sisters and brothers who work hard to feed our nation. The first Cabinet of 2025 is dedicated to enhancing prosperity for our farmers. I am glad that key decisions have been taken in this regard," the PM said in a post on X.
Ours is a Government fully committed to furthering welfare of farmers. We are proud of all our farmer sisters and brothers who work hard to feed our nation. The first Cabinet of 2025 is dedicated to enhancing prosperity for our farmers. I am glad that key decisions have been…
January 1, 2025Other Cabinet Decisions
The Modi cabinet on Wednesday also approved the continuation of the PM Fasal Bima Yojana and Restructured Weather Based Crop Insurance Scheme till 2025-26 with an overall outlay of Rs 69,515.71 crore from 2021-22 to 2025-26.
The PMFBY is a government-sponsored crop insurance scheme launched in 2016 that provides financial aid to farmers for crop loss due to unforeseen events like extreme weather events.
The cabinet also cleared plans for large-scale technology infusion in the implementation of the crop insurance scheme to increase transparency and claim calculation and settlement. The government will set up the Fund for Innovation and Technology (FIAT) with a corpus of Rs 824.77 crore.
The fund will be utilised towards funding technological initiatives under the scheme, namely, YES-TECH, WINDS, etc., as well as research and development studies, the statement said.
-
'Never Seen This Level Of Negativity': Sandeep Tandon Says The Next Rally May Be Closer Than You Think
Veteran investor Sandeep Tandon says foreign selling is easing, large-caps are due a comeback and mid-caps are crowded, while he turns positive on gold, power and pharma this Diwali.
-
Indians Stay With Family, Not In Hotels | The Reason Why
India still lacks enough clean, reliable and affordable hotels for budget-conscious travellers.
-
The Economic Imperative: Analysing The Material Driving Force Behind India-Canada Strategic Reset
This economic complementarity is further reinforced by deep institutional investment ties and talent mobility, which form the bedrock of the bilateral framework.
-
Medicine Pricing: Where Must Profit Stop?
India must confront excessive margins, hidden incentives and regulatory gaps that threaten the integrity of medicine.
-
Why Amazon And Flipkart Are Struggling To Beat Meesho In India's Smaller Cities
With 274 million users and lowest-cost logistics, Meesho is defending its value commerce crown against giants like Amazon and Flipkart.
-
High US Salaries, No Green Card Certainty: The Financial Calculation Facing Indian H-1B Families
The suspension of PERM processing at eight technology employers does not cancel existing H-1B visas. What it does is force a question many Indian families have been avoiding: is the US salary worth tying your career and family plans to one employer?
-
Swiggy vs Eternal: Food Delivery's Two Rivals Are No Longer In The Same Race
Eternal is building a private AI assistant, dark.ai. Swiggy is still working out how to make Instamart pay, with an operating loss of Rs 895 crore in the July-September quarter while Blinkit stayed profitable.
-
Where You Live Shapes How You Get To Work | The Reason Why
Two-wheelers are the most popular way to get to work in India, accounting for nearly 43% of workplace commutes.
-
Unhedged Position: Can India See An Indonesia-Style Time Correction?
The Nifty is trading below levels it first clocked in 2024. Is there, then, as I have suggested in the headline, potential that the current time correction drags on painfully for the next three-five, even ten years?
-
Navigating Friction And Energy Realities: An Analysis Of Marco Rubio's October Visit To India
Occurring at a critical juncture marked by stalled trade negotiations and escalating geopolitical pressures over global energy supplies, the visit offers a profound window into modern US-India relations.
