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LATEST NEWS UPDATES | Only 24 cases of diversion of subsidized urea since 2010: Govt -Dipak Kumar Dash

Only 24 cases of diversion of subsidized urea since 2010: Govt -Dipak Kumar Dash

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published Published on Feb 22, 2014   modified Modified on Feb 22, 2014
-The Times of India


NEW DELHI: Fertilizer minister Srikant Jena may keep claiming that annually 30 lakh tonne of highly subsidized urea for agriculture is being smuggled to chemical factories, but the government says states have reported only 24 such cases since 2010-11.

Jena had recently said at a conference of Indian Fertilizer Association (IFA) that there are serious signs of mismanagement in an information technology-driven era when targeted farmers can be tracked to ascertain whether the fertilizer is reaching them. He had also said that his ministry has written to state governments time and again to crack down diversification of urea for industrial use.

But the minister told Lok Sabha in the just concluded Parliament session, "Government has not received any report with regard to diverting/ selling subsidized fertilizers by manufacturing companies to the industrial users at higher prices."

In the written reply, the minister submitted that there are reports of alleged diversion from entities, other than fertilizer manufacturing companies.

The minister also submitted a detailed list of four states - Rajasthan, Gujarat, Kerala and Chhattisgarh - where diversion of fertilizer other than agriculture use have been reported. While in Rajasthan four cases came to light in the past four years Gujarat reported a maximum of 10 such cases. In Gujarat, nine cases have reached FIR stage only one case is pending in the court.

Earlier Jena had alluded to highly industrialized states with chemical plants Such as Gujarat, Maharashtra and Haryana where the alleged diversion could have been happening. The ministry has submitted to Lok Sabha that only five cases came to light in Maharashtra. In only one case the licence has been suspended while the rest four cases are at FIR stage.

Urea is highly subsidized by the government and is currently priced at Rs 5,360 a tonne. "The urea smuggling is happening because the price fixed is very low. This is for the government to address," IFFCO managing director U S Awasthi had told TOI.


The Times of India, 22 February, 2014, http://timesofindia.indiatimes.com/india/Only-24-cases-of-diversion-of-subsidized-urea-since-2010-Govt/articleshow/30826154.cms


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