SUSTAINABLE FERTILISER Fertiliser pricing and subsidy policy in India

Fertiliser was brought under Fertiliser Control Order (FCO) in 1957 to regulate its sale, price and quality. Various committees have been formed over the years to fulfill the objective of ensuring adequate quantity of fertilisers at fair prices to the farmers. Retention Pricing Scheme (RPS) implemented from 1977 led to a phenomenal increase in domestic production and consumption of fertilisers. But the subsidy bill kept on increasing significantly due to the rise in cost without corresponding rise in retail price. The fertiliser sector remained under government control for a long period and the cost plus approach with stringent regulations and procedures did not encourage any investment in the sector since the beginning of the 2000 decade. The fertiliser industry had hardly any scope to promote innovative products for balanced fertiliser usage.

Read more

SUSTAINABLE FERTILISER Natural gas for fertiliser- development imperatives

India is heavily dependent on import of all primary energy resources—crude oil, coal and natural gas. There is a need to use the domestic energy resources specially gas judiciously. The paper provides justification on technical, financial and strategic grounds for using domestic gas for production of fertiliser. This would ensure affordable fertiliser to the farmers and augment the fertiliser security of the country.

Read more