The Cabinet Committee on Economic Affairs (CCEA) has granted its approval for a special package comprising innovative schemes aimed at the welfare and economic well-being of farmers. With a total outlay of Rs.3,68,676.7 crore, these initiatives seek to promote sustainable agriculture and address various challenges faced by farmers in India. A press release on the same was issued on 30th June, 2023.
The Union Minister for Chemicals and Fertilizers and Health and Family Welfare, made the announcement during a virtual meeting with agriculture ministers from Union Territories. Union Agriculture Minister and agriculture ministers from over 20 states and union territories also participated in the meeting.
One of the key components of the package is the continuation of the urea subsidy scheme, which ensures the availability of urea to farmers at a fixed price of Rs 266.70 per 45 kg bag, excluding taxes and neem coating charges. The CCEA has allocated Rs 3,68,676.7 crore towards the urea subsidy for a period of three years, from 2022-23 to 2024-25. This provision aims to reduce the input cost for farmers and ensure the uninterrupted supply of urea.
The government’s commitment to supporting farmers goes beyond the urea subsidy scheme. The recently approved Nutrient Based Subsidy (NBS) of Rs 38,000 crore for the Kharif season of 2023-24 is also part of the package. These subsidies will help farmers acquire fertilizers without incurring additional expenses, ultimately boosting their income.
Additionally, the Prime Minister’s Program for Restoration, Awareness, Nurturing, and Improvement of Fertility of Mother Earth (PM-PRANAM) has been launched to encourage states to promote balanced usage of alternative and chemical fertilizers. The government has sanctioned Rs 1451.84 crore for Market Development Assistance (MDA) to promote organic fertilizers from Gobardhan plants. This will facilitate the management of post-harvest residues, combat stubble burning, and contribute to a cleaner and safer environment. The marketing of these organic fertilizers, including Fermented Organic Manure (FOM), Liquid FOM, and Phosphate Rich Organic Manure (PROM), will be supported under the MDA scheme.
To address sulfur deficiency in the soil and reduce farmers’ input costs, the introduction of Sulfur Coated Urea (Urea Gold) has been approved. This cost-effective alternative to neem-coated urea will enhance sulfur levels in the soil, increase production and productivity, and improve farmers’ income.
During the meeting it the importance of preventing the diversion of urea intended for farmers to other sectors was emphasized. The states were called upon to take effective measures to curtail such diversions and ensure that urea is solely used for agricultural purposes.
