Related Frequently Asked Questions & Answers

1Q. Who fully funds the financial assistance for the New Urea Policy 2015 Scheme?

Answer: The Central Government of India fully funds the urea subsidy through financial assistance as part of the department’s Central Sector Scheme (CSS). As a way to close the gap between the estimated demand and domestic urea production in the nation, it also contains imported urea subsidies. Additionally, it contains transport subsidies for the nationwide transportation of urea.

2Q. Write about the Fertilizer Sector of India?

Answer: After China, India is the country that uses the most urea fertilizers. In terms of phosphatic fertilizer output, it comes in third place, but imports are necessary to meet the demand.

  • Type of Fertilizers- Primary, secondary, and macronutrients.
  1. Primary: Nitrogenous (Urea), Phosphatic (DAP), Potash-based (MOP)
  2. Secondary: Fertilizers include Ca Calcium), Mg (Magnesium), and Sulphur (S)
  3. Macronutrients: Include Iron, Zinc, Boron, Chloride

3Q. What Happened in the year 1973 Related to the Fertilizer Sector of India?

Answer: In 1973 oil crisis raised the price of fertilizer, which decreased consumption and raised food costs. Therefore, the government-supported producers in 1977. The government deregulated the import of DAP (di-ammonium phosphate) and MOP (Muriate of potash) in 1992 as the BoP issue grew severe. But urea imports are still limited and controlled.

4Q. What are the objectives of the New Urea Policy 2015 by the Department of Fertilizers?

Answer: In 2015, the Department of Fertilizers developed a policy.

  • Increase domestic urea production to decrease reliance on imports and the government’s subsidy burden.
  • Encourage energy efficiency to lower carbon footprint and environmentally friendly urea manufacturing. Revisions to the specific energy usage guidelines will accomplish this.
  • Make the urea production facility employ the greatest technologies available so it can compete internationally.
  • Timely delivery of urea at the same MRP to the farmers.
  • Optimizing energy efficiency in the manufacture of urea.
  • The subsidy burden on the Government of India is to be rationalized.
     

New Urea Policy 2015

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Urea Subsidy:

The Central Government of India fully funds the urea subsidy through financial assistance as part of the department’s Central Sector Scheme (CSS). Urea is provided to farmers at a legally set price in order to support sustained agricultural development and encourage balanced nutrient application....

History of the Urea Subsidy:

To control the sale, cost, and quality of fertilizer, the Fertilizer Control Order was issued in 1957. Later in 1973, the Movement Control Order was issued to control fertilizer delivery. The 1973 oil crisis raised the price of fertilizer, which decreased consumption and raised food costs. Therefore, the government-supported producers in 1977. The government deregulated the import of DAP (di-ammonium phosphate) and MOP (Muriate of potash) in 1992 as the BoP issue grew severe. But urea imports are still limited and controlled....

India’s Urea Policy:

The Central Government significantly subsidizes urea, which is the main source of nitrogenous fertilizer. The only fertilizer that is still under control as of right now is urea. The Department of Fertilizers’ urea subsidy is classified as a Central Sector Scheme, and the Central Government is fully responsible for funding it. In 2015, the Department of Fertilizers developed a policy. A comprehensive New Urea Policy 2015  for the following four financial years was approved by the Union Cabinet in May 2015. (June 2015 to March 2019)....

New Urea Policy 2015:

Its main objectives are:...

Fertilizer Sector of India:

After China, India is the country that uses the most urea fertilizers. In terms of phosphatic fertilizer output, it comes in third place, but imports are necessary to meet the demand....

Related Frequently Asked Questions & Answers:

1Q. Who fully funds the financial assistance for the New Urea Policy 2015 Scheme?...

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