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The government on Friday said it is not considering direct transfer of fertilizer subsidy into farmers' bank accounts at present, saying the database of identified farmers is not yet complete.
In a written reply to a question in the Lok Sabha, Chemicals and Fertilizers Minister Jagat Prakash Nadda said the existing Direct Benefit Transfer (DBT) system for fertilizers will continue, under which subsidy is paid to fertilizer companies after fertilizers are sold to beneficiaries through Aadhaar-authenticated transactions. "Under 'DBT in Fertilizers system, 100% subsidy on various fertilizer grades is released to the fertilizer companies, on actual sales to the beneficiaries based on Aadhaar authentication through PoS devices installed at each retail shop," the minister said. The government clarified that direct cash transfer of fertilizer subsidy to farmers is not being planned for now. "As on date, since the database of identified farmers is not saturated, the direct cash transfer is not envisaged till now," the reply said. The clarification came in response to a question on whether the government proposes to simplify and make fertilizer subsidy transfers more transparent by depositing the benefits directly into farmers' bank accounts to reduce input costs. The reply also said fertilizer sales under the current DBT system are authenticated through Aadhaar-enabled point-of-sale devices installed at every fertilizer retail outlet before subsidy claims are released to companies. Nadda also assured the parliament that there is no shortage of fertilizers in Uttar Pradesh. "The availability of fertilizers, viz. Urea, DAP, MOP and NPKS, in the State of Uttar Pradesh during the ongoing Kharif 2026 season is adequate." The government, however, also revealed large-scale enforcement action against fertilizer-related violations. "Further, the Department of Agriculture and Farmers Welfare (DA&FW) in consultation with the State Government is regularly monitoring the enforcement action taken by State Government against the cases of Black marketing, Hoarding, Sub-standard and Diversion on weekly basis," the minister said. The reply added that between April 2026 and July 17, 2026, authorities in Uttar Pradesh conducted 9,687 raids, issued 1,083 show-cause notices, suspended or cancelled 548 licences, and registered 38 FIRs against defaulters. The written reply was tabled in the Lok Sabha in response to questions on fertilizer subsidy, availability and distribution during the ongoing Kharif season. (ANI)
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