Opening The Field

Context: There is a need to address the shortage of fertilisers in India by replacing DAP and MOP.

Issues in fertilizer sector

• Low level of stocks: Particularly, Di-Ammonium Phosphate (DAP) and Muriate of Potash (MOP) are at precariously low levels.
• Global price rising: Spiralling global prices of complex fertilisers as well as inputs, such as phosphoric acid, ammonia and sulphur, making the imports expensive.
• Panic buying of fertilisers by farmers due to conducive soil moisture conditions because of surplus rains since September. Shortages of fertiliser can be a dampener in such a situation.

Way Forward

• Promotion of subsidy on non-urea fertilisers: Government need to raise the subsidy on non-urea fertilisers in time for the industry to plan imports.
• Supply chain optimization: Government must ensure that the imported fertilisers are quickly moved to the farmers to stop the panic buying of fertilisers.
• Rationalisation in fertiliser usage: Replacing DAP and MOP with NPK complexes in 12:32:16 or 10:26:26, or single super phosphate having 16% P and 11% sulphur can be the solution.