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India's Fertiliser Subsidy May Exceed Rs 3 Lakh Crore This Fiscal

30 September 2026 · ⏱ 2 મિનિટ · GS-III Economy — subsidies; Agriculture inputs

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સમાચારમાં કેમ?

Over Rs 3 lakh crore and rising: the fertiliser subsidy question GS-III Economy keeps circling back to

The fertiliser subsidy may cross Rs 3 lakh crore, and States were asked to curb over-application.

Why it matters: asked in UPSC 2020; factual, Prelims-type

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What you need to know

2 મિનિટ

India's fertiliser subsidy bill could exceed Rs 3 lakh crore in the current financial year.

Pointing to this cost pressure, the Centre has asked States to prevent over-application of nutrients.

Excess use of fertilisers also harms soil health and raises the fiscal burden.

સ્રોત: Topper IAS editorial (PIB / The Hindu / Indian Express)

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મુખ્ય તથ્યો

Remember these

  • India's fertiliser subsidy bill may exceed Rs 3 lakh crore in the current financial year
  • The Centre has asked States to prevent over-application of nutrients
  • Excess fertiliser use harms soil health and raises the fiscal burden
  • Agriculture is a State subject, so the Centre needs State cooperation on input use
  • Urea is sold at a statutorily controlled maximum retail price, with the Centre bearing the difference
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પ્રિલિમ્સ · મેઇન્સ

How the exam will ask it

પ્રિલિમ્સ

  • Fertiliser subsidy is borne by the Union Government and forms part of its food and fertiliser subsidy expenditure.
  • Over-application of chemical fertilisers can degrade soil health and lower nutrient-use efficiency.
  • Agriculture is a State subject under the Seventh Schedule, so curbing fertiliser overuse depends on Centre–State coordination.

મેઇન્સ

GS-III Economy and Agriculture: rising fertiliser subsidy strains the fiscal deficit while overuse degrades soil health. The Centre subsidises fertilisers to keep farm inputs affordable, but price-based support encourages imbalanced nutrient use. The way forward includes balanced nutrient application, soil health testing, better targeting such as direct benefit transfer, and stronger Centre–State cooperation.

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PYQ connection

A question UPSC has already asked on this

🔁 UPSC PYQ CONNECTION · UPSC CSE 2020

With reference to chemical fertilizers in India, consider the following statements:

  1. At present, the retail price of chemical fertilizers is market-driven and not administered by the Government.
  2. Ammonia, which is an input of urea, is produced from natural gas.
  3. Sulphur, which is a raw material for phosphoric acid fertilizer is a by-product of oil refineries.

Which of the statements given above is/are correct?

  1. 1 only
  2. 2 and 3 only
  3. 2 only
  4. 1, 2 and 3
જવાબ જુઓ

જવાબ: B

Why this matters: today's issue is directly connected to a concept UPSC has already tested. Read the story with this question in mind.

Practise this PYQ →
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Quick recall

Answer before you reveal

The multi-sport Asian Games, being held in Japan this year, are organised by which body?

  1. International Olympic Committee
  2. Olympic Council of Asia
  3. Asian Football Confederation
  4. Commonwealth Games Federation
જવાબ જુઓ

જવાબ: B — Correct: Olympic Council of Asia — The Olympic Council of Asia (OCA) owns and organises the Asian Games. • International Olympic Committee — wrong: The International Olympic Committee runs the Olympic Games, not the continental Asian Games. • Asian Football Confederation — wrong: The Asian Football Confederation governs football in Asia and runs its own tournaments, not the multi-sport Games. • Commonwealth Games Federation — wrong: The Commonwealth Games Federation organises the Commonwealth Games, which involve a different group of nations.

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