Cabinet Approves ₹41,534 Crore Nutrient Based Subsidy for Kharif 2026 on P&K Fertilizers

The Union Cabinet chaired by Prime Minister Narendra Modi on April 8, 2026 approved the Nutrient Based Subsidy (NBS) rates for Kharif Season 2026, applicable from 1 April 2026 to 30 September 2026, for Phosphatic and Potassic (P&K) fertilizers. The tentative budgetary outgo for the Kharif season is approximately ₹41,533.81 crore, which is about ₹4,317 crore more than for Kharif 2025, reflecting roughly a 12 per cent increase to offset rising international fertilizer and raw material prices driven by West Asia geopolitical disruptions. Under the revised structure, the per kilogram subsidy for nitrogen is set at ₹47.32, for phosphorus at ₹52.76, for potash at ₹2.38 (held steady), and for sulphur at ₹3.16. The scheme covers 28 grades of P&K fertilizers, including Di-Ammonium Phosphate (DAP), Mono-Ammonium Phosphate (MAP), Muriate of Potash (MOP), Triple Super Phosphate (TSP), Single Super Phosphate (SSP), complex fertilizers and micronutrient-fortified variants. The Department of Fertilizers operates NBS since April 2010 on a per kilogram basis for each major nutrient so that companies can import or manufacture P&K fertilizers and sell them at market rates, while the subsidy is transferred through the Direct Benefit Transfer (DBT) system after authenticated point of sale. Officials said the decision ensures timely and affordable availability of fertilizers to farmers during Kharif sowing, stabilises retail prices, and safeguards food security ahead of the monsoon. The maximum retail price of a 50-kg DAP bag continues at ₹1,350.