PM Modi calls to reduce fertiliser imports, calls industry for domestic production

Prime Minister Narendra Modi on Friday called for becoming atmanirbhar (self-reliant) in producing fertiliser through judicious use of crop nutrients by farmers and enhancing domestic production to cut imports.The prime minister expressed concern over the dependence on imports in the fertiliser sector, resulting in outgo of foreign exchange. Modi urged farmers to use fertilisers with care, which will not only protect soil health but also curtail the domestic requirements.

Currently, India import urea as well as phosphatic and potassic (P&K) fertilisers to meet its domestic requirements.

Addressing on the occasion of the 79th Independence Day, Modi said it’s “unfortunate” that India is dependent on fertiliser imports from global markets.

Farmers can also protect soil health through judicious use of fertilisers, he said, adding that “indiscriminate use of fertilisers are damaging our soil”.

Further, Modi also called for the youth and the industry to make India self-sufficient in fertiliser sector by enhancing domestic production for adequate supplies.”We should innovate and produce fertilisers as per our needs. We should not be dependent on others,” he added.The government is providing massive subsidies to for the farmers to get urea, DAP (di-ammonium phosphate) and other fertilisers at a reasonable rates.India’s urea import stood at 56.47 lakh tonnes in 2024-25 as against 70.42 lakh tonnes in 2023-24.

Imports of DAP, a key fertiliser, stood at 45.69 lakh tonnes in 2024-25 fiscal as against 55.67 lakh tonnes in 2023-24.

These fertilisers are provides urea to farmers at a Maximum Retail Price (MRP) of Rs 242 per bag of 45 kg bag (exclusive of charges towards neem coating and taxes as applicable).

The difference between the MRP and the production cost is given as subsidy to the urea manufacturer/importer.

Urea production increased from 225 lakh tonnes during 2014-15 to a record 314.07 lakh tonnes during 2023-24. During 2024-25, 306.67 lakh tonnes of urea was produced in the country.

The Centre has implemented Nutrient Based Subsidy (NBS) policy for phosphatic and potassic (P&K) fertilisers since April 2010 for non-urea fertilisers.

Under this, a fixed amount of subsidy, decided on an annual/bi-annual basis, is provided on notified P&K fertilisers depending on their nutrient content.

The government’s fertiliser subsidy stood at Rs 1,77,129.50 crore in 2024-25 fiscal.