The CACP highlighted issues related with fertilizers in its recent report Price Policy for Rabi Crops, Marketing Season 2024-25.

Key Issues Highlighted

• Decreasing fertilizer response: Foodgrain production per kg of NPK fell from 12 kg (1960-69) to 3 kg in 2020.
• Impact of Subsidy Structure: Overuse of urea due to subsidies has caused nutrient imbalances and lopsided soil fertility. 
• Uneven Fertilizer Use: In some States and districts, per hectare use is higher than required quantity, while in others, the use is very low. 
  • E.g. Some districts of Andhra Pradesh and Tamil Nadu record > 500 KG per hectare use which is far above recommended levels.
• Dependent on imports of both raw materials and finished fertilizers: About 30 % of demand is met through imports.

Recommendations of CACP

• Phased Urea Price Increase: Use subsidy savings to support P & K fertilizers. 
• Promote Integrated Nutrient Management (INM): It integrates chemical fertilizers, organic manure, and bio-fertilizers.
• Strengthening Soil Testing: Upgrade labs, install modern equipment, and train staff for real-time soil analysis and advisory services.