-The Business Standard The transition to direct fertiliser subsidy will not be easy The road map for direct transfer of fertiliser subsidy to farmers that Finance Minister Pranab Mukherjee outlined in the Budget has come under a cloud even before it is rolled out. Most in the fertiliser sector – including, notably, the fertiliser ministry and fertiliser dealers – are wary of trying it out, for fear that it might create more...

-The Economic Times   Decontrol of urea is likely to affect agricultural production adversely for several reasons. First, it will immediately push up prices of all nitrogenous fertilisers and reduce their usage, thereby lowering crop yields.  Second, it may also lead to increase in the prices of DAP and other mixed fertilisers due to shift in demand in their favour. Urea decontrol may not result in more balanced use of N, P and...

-The Economic Times Fertiliser will continue to be a key input in the crop production system as there are no alternatives to meet nutritional requirement of crops. Post-Independence, a substantial increase in indigenous production and consumption of urea and a range of P and K fertilisers made the country self-reliant both in fertiliser and food grain production. But farm production is stagnant though fertiliser use has been rising. The bone of...

The fertiliser ministry is mooting a proposal to raise urea prices by 10%. With this proposed revision, which will have to be endorsed by the Cabinet Committee on Economic Affairs, urea prices will go up from Rs 5,310 per tonne to Rs 5,841 per tonne.  This will help the government to reduce its annual subsidy burden by around Rs 2,000 crore. At present , the annual urea subsidy bill is in...

The Prime Minister's Economic Advisory Council has suggested a complex combination of three pricing models to fix retail prices of 348 essential drugs to balance industry's concerns and public health. The proposal, however, has drawn the ire of drug makers who say it is a watered down version of the health ministry's proposals. The council has proposed that for medicines facing "insufficient competition" or a monopoly-like situation, the retail price should...