Govt absorbs Rs. 3k per 50 kg Urea

The Agriculture Ministry has announced the Government is absorbing Rs. 3,000 from each 50 kg bag of urea in order to provide the fertiliser to farmers at a price of Rs. 10,000, while the process of crediting the fertiliser subsidy directly to farmers’ bank accounts has already commenced.

Speaking to The Daily Morning, Deputy Agriculture Minister Namal Karunarathne said that previously, farmers were compelled to buy fertiliser even at prices between Rs. 15,000 and Rs. 16,000. Therefore, the Government is now absorbing Rs. 3,000 per bag to issue a 50 kg bag of urea at a price between Rs. 10,000 and Rs. 10,200. These bags are being distributed exclusively through Agrarian Service Centres. He further said that the Ministry is well aware of the timeframes during which the three types of fertilisers are needed for paddy farming in the season, and that the Government is crediting the pledged subsidy into farmers’ accounts in due time. “Now, the farmers are receiving a subsidy of Rs. 60,000, which is double what they received earlier for two hectares (ha). For farmers growing alternative crops in paddy fields, we pay Rs. 36,000 for two ha as well. These subsidies are being credited at the appropriate times to the farmers’ bank accounts,” he said.

Issues with fertiliser and its hindrance to agricultural activities have been reported since the onset of the Middle East tensions, which triggered fears of a fertiliser shortage. To prevent stockpiling, the Government moved to issue fertiliser via the Agrarian Service Centres. However, on various occasions, farmers have complained that the Agrarian Service Centres are asking them to pay the full price for fertiliser upfront, while the promised subsidy has not yet been received.

Source - The Morning