RAS question
What is the fertilizer subsidy allocation in Budget 2026-27?
Correct answer: (B) ₹1,70,944 crore.
Budget 2026-27 provided ₹1,70,944 crore for fertiliser subsidy.
Explanation
Budget 2026-27 set the fertiliser subsidy at ₹1,70,944 crore. The cited Press Information Bureau release confirms this figure in the agriculture-sector section of the Budget statement. It explains the policy reason as well: the subsidy was provided to ensure affordable fertilisers, reduce production costs and give relief to farmers. That is why option B is the precise answer. The nearby rounded statement that the subsidy was more than ₹1.70 lakh crore supports the same allocation, but for an MCQ asking the exact Budget figure, ₹1,70,944 crore is the value to mark.
Why the other options are wrong
- (A) ₹2,00,000 crore is higher than the fertiliser subsidy figure named in the PIB release, so it overstates the Budget allocation.
- (C) ₹1,20,000 crore is below the stated allocation and misses the specific ₹1,70,944 crore provision recorded for fertiliser subsidy.
- (D) ₹1,50,000 crore is not the figure given in the Budget explanation or in the PIB release, which identifies ₹1,70,944 crore.
Concept
This tests Union Budget subsidies within the agricultural economy and fiscal policy part of the RAS syllabus. Such figures recur because subsidy allocations link government expenditure to farm input costs and farmer relief.