govt-warns-fertiliser-makers-against-tagging-non-subsidised-items

The government has issued a strong warning to fertiliser manufacturers who indulge in the wrongful practice of tagging non-subsidised products such as pesticides and nano-based crop nutrients along with subsidised materials like urea and DAP to sell to farmers.

Warning such persons of strict action, the Department of Fertilizers, under the Ministry of Chemicals and Fertilizers, wrote a letter to top executives of all fertiliser companies on July 21 regarding this issue.

“It has come to the notice of the Department that some non-subsidised products such as pesticides, nano fertilizers, bio-stimulants and other products are being tagged with subsidised fertilizers like urea and DAP/NPKs at the time (of sale) to the farmers,” the letter said.

 

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The department said that fertilisers are essential commodities under the Essential Commodities Act, 1955 and hence, the unauthorised tagging of other products with subsidised fertilizers would mean violation of this legislation as well as the Fertilizer Control Order, 1985.

“However, it has been observed that dealers and retailers of some companies continue to tag non-subsidised products while selling subsidised fertilisers to farmers,” the department said further in its letter, adding that such wrong practices put undue financial burden on farmers.

Earlier this month, Union Agriculture Minister Shivraj Singh Chouhan had also written to all state chief ministers and urged them to take immediate and stringent action against the sale of counterfeit and substandard fertilisers. 

"Forced tagging of nano-fertilisers or bio-stimulant products, along with conventional fertilisers, should be stopped immediately," Chouhan had said.

The department meanwhile acknowledged that it is receiving complaints and grievance petitions, which reflects that the practice is widespread and persistent and undermines the aim of the government’s fertiliser subsidy framework.

Having directed the top management to “strictly ensure that no such tagging of non-subsidised products with subsidized fertilisers is done for the farmers”, it warned of strict action” under relevant statutory provisions if such "malpractice" was seen.

In 2022-23, the Centre's fertiliser subsidy stood at ₹2,54,798.88 crore. The subsidy declined to ₹1,95,420.51 crore in 2023-24 and ₹1,77,129.50 crore in 2024-25.