The approved subsidy rates will apply to P&K fertilisers, including Di-Ammonium Phosphate (DAP) and various NPKS grades
Cabinet approves Rs 62,370 crore Rabi fertilizer subsidy: The Union Cabinet on Wednesday approved Rs 62,370 crore fertilizer subsidy for Rabi 2026-27 season. Through this move the government aims to ensure smooth availability of these fertilizers to farmers at affordable and reasonable prices throughout the season.
The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the Nutrient-Based Subsidy (NBS) rates for phosphatic and potassic (P&K) fertilisers for the Rabi 2026-27 season. This will cover the period from October 1, 2026, to March 31, 2027.
The tentative budgetary requirement for the six months has been estimated at ₹62,370.02 crore. An increase of ₹24,417.73 crore over the ₹37,952.29 crore allocated for the Rabi 2025-26 season. The approved subsidy rates will apply to P&K fertilisers, including Di-Ammonium Phosphate (DAP) and various NPKS grades. The government aims to ensure the smooth availability of these fertilisers to farmers at affordable and reasonable prices throughout the season.
Under the NBS framework, subsidies will be provided to fertilizer companies according to the approved and notified rates.
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The government currently makes 28 grades of P&K fertilisers, including DAP, available to farmers at subsidised prices through fertiliser manufacturers and importers. The subsidy on these fertilisers is governed by the Nutrient-Based Subsidy Scheme, which has been in operation since April 1, 2010.
The higher budgetary requirement for the coming Rabi season reflects the government’s decision to adjust subsidy support in view of international price trends and input costs. The continuation of the subsidy is expected to help maintain access to essential phosphatic and potassic fertilisers and support farmers during the winter cropping season.
