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Farmers may have to pay more for DAP, potash, complex fertilisers -Prabhudatta Mishra

-The Hindu Business Line

Some manufacturers have hiked prices, others await clarity on the situation

New Delhi: The fertiliser industry is not hopeful of an increase in subsidies from last year’s level for non-urea crop nutrients despite global prices shooting up sharply.

Several companies have increased the maximum retail price (MRP) of fertilisers, while some others are waiting for clarity. The recent farmers’ movement and the farm leaders’ unsuccessful dabbling in electoral politics is also seen as a factor for maintaining the subsidy at last year level.

IFFCO increases rates

Fertiliser cooperative IFFCO last month raised the MRP of DAP to  1,350 (per 50 kg bag) from  1,200, that of NPKS to  1,400 from  1,290. The DAP subsidy was increased to  1,200/bag last year from  500/bag after global prices increased. As the current international prices have further increased, the government subsidy might have to be around  1,450-1,500 if the government wants the purchase rate for farmers to remain at  1,200/bag.

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