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Nutrient Based Subsidy (NBS) rates announced for Phosphatic & Potassic (P&K) Fertilisers 2021-22

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13 October 2021, New Delhi: The Cabinet Committee on Economic Affairs, chaired by Prime Minister Shri Narendra Modi has approved the proposal of the Department of Fertilizers for fixation of Nutrient Based Subsidy Rates for P&K Fertilizers for the year 2021-22(from 1st October, 2021 to 31st March, 2022).The approved rates for Nutrient Based Subsidy (NBS)shall be as under:

Per Kg Subsidy rates (in Rs.)

N (Nitrogen) P(Phosphorus) K(Potash) S(Sulphur) 
18.789 45.323 10.116 2.374 

(i)   Total amount of Rollover will be Rs. 28,602 crore.

(ii) Special one-time package for additional subsidy on DAP at the tentative additional cost of Rs. 5,716 crore.

(iii) Special one-time package for additional subsidy on three most consumed NPKs grades viz. NPK 10-26-26, NPK 20-20-0-13 and NPK 12-32-16 at the tentative cost of Rs. 837crore. Total subsidy required will be 35,115 crore.

The CCEA also approved the inclusion of Potash derived from Molasses (0:0:14.5:0) under the NBS Scheme.

Financial Implications:

Net subsidy required for Rabi 2021-22 after deducting savings will be Rs.28,655 crore.


This will enable smooth availability of all P&K fertilizers to the farmers during Rabi Season 2021-22 at the subsidized  / affordable prices of fertilizers and support the agricultural sector by continuing the present subsidy levels and giving special packages of additional subsidy for DAP and three mostly consumed NPK grades.

lt will give Rs. 438 per bag benefit on Di-Ammonium Phosphate (DAP) and Rs. 100 per bag benefit each on NPK 10-26-26, NPK 20-20-0-13 & NPK 12-32-16 so as to maintain prices of these fertilizers afford able to the farmers.

Implementation Strategy and targets:

The subsidy on P&K fertilizers will be provided based on the NBS rates approved by the CCEA to ensure smooth availability of these fertilizers to the farmer sat affordable prices.


Government is making available fertilizers, namely Urea and 24 grades of P&K fertilizers to farmers at subsidized prices through fertilizer manufacturers/ importers. The subsidy on P&K fertilizers is being governed by NBS Scheme w.e.f. 01.04.2010. ln accordance with its farmer friendly approach, the Govt. is committed to ensure the availability of P&K fertilizers to the farmers at affordable prices. The subsidy would be released to fertilizer companies as per above rates so that they can make available fertilizers to farmers at an affordable price than it would have been other wise.

Also Read: 10th Annual Global Food Security Index Shows Overall Decline in Food Security

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