The Union cabinet on Tuesday approved the allocation of ₹37,952 crore as subsidy for phosphatic and potassic (P&K) fertilizers for the ongoing Rabi season that runs from October to March.
The Cabinet, headed by Prime Minister Narendra Modi, increased the Nutrient-Based Subsidy (NBS) rate for phosphate to ₹47.96 per kg for the rabi season from ₹43.60 per kg in the 2025 kharif season. Similarly, the subsidy for sulphur was raised to ₹2.87 per kg from ₹1.77 per kg . The subsidy rate for nitrogen and potash were, however, kept unchanged at ₹43.02 per kg and ₹2.38 per kg, respectively.
The total outlay about ₹736 crore higher than the outlay for the 2025 Kharif season. I&B minister Ashwini Vaishnaw told reporters during a briefing on the cabinet’s decisions that the subsidy approved is higher by about ₹14,000 crore from the previous Rabi season.
“PM Narendra Modi takes big decisions one after the other in favour of farmers and in this, the income of many farmers is protected, so that they get inputs at low cost and can do farming in new ways using digital technologies,” said Vaishnaw. ”Overall, this package will provide huge relief to the farmers in this Rabi season and there will be no further increase in rates for them. Whatever extra burden comes will be borne by the government.”
“We are committed to the welfare of our farmer brothers and sisters across the country. In this direction, our government has taken a major step by approving subsidies on phosphorus and potash fertilisers for the 2025-26 Rabi season,” Modi said in a post in Hindi on X. “This will not only ensure affordable fertilisers for farmers but will also increase their income,” he said.
The revision takes into account international price trends of key inputs such as urea, di-ammonium phosphate (DAP), muriate of potash (MOP), and sulphur, as well as prevailing exchange rates and domestic market considerations, according to the cabinet briefing.
A total of 28 grades of P&K fertilizers, including DAP and NPKS grades, are covered under the NBS regime, which was introduced in 2010. The scheme provides subsidies on a per-nutrient basis to fertilizer companies, enabling them to sell fertilizers to farmers at prices lower than market levels.
A special package has also been provided to maintain the availability of DAP and triple super phosphate (TSP) without any increase in maximum retail prices, added the minister. Additionally, ammonium sulphate, both domestic and imported, will continue to be supplied at subsidised rates to supplement urea availability.
