Government assures stable supply of DAP for Rabi 2024 despite media claims

The government has clarified recent media reports that claim the national shortage of diammonium phosphate (DAP) and its potential impact on the Rabi crop are misleading and factually incorrect. These reports have raised concerns, but the government says the situation is being managed effectively.

As per the latest release, the Maximum Retail Price (MRP) of DAP has remained stable at Rs. 1350 per 50 kg bag since the start of the Covid-19 pandemic. Contrary to some claims, the government has not reduced the DAP subsidy. In fact, the subsidy has been increased to ensure that farmers continue to benefit despite price fluctuations in the world market.

Two key Cabinet decisions have further strengthened support for farmers. First, a special package of Rs. 3500 per metric ton (MT) has been introduced, at a total cost of Rs. 2625 million. This package aims to make DAP purchases sustainable for companies and protect them from the effects of international price volatility. Second, the DAP subsidy has been linked to global market prices, ensuring that even if purchase prices increase due to global factors, the purchasing power of fertilizer companies is not affected. As a result, farmers will continue to have access to DAP without facing higher costs.

Further, the budget allocation for the Rabi season of 2024-25 has been significantly increased to Rs. 24,475 crores, which demonstrates the government’s focus on ensuring availability of fertilizers and supporting agricultural productivity.

Availability of DAP has been affected by certain geopolitical factors, including disruptions in shipping routes. However, the Department of Fertilizers has taken intensive steps to increase the availability of DAP between September and November 2024.

Diammonium Phosphate (DAP) is an essential fertilizer containing 46% phosphorus, a crucial nutrient that supports early crop development, especially root establishment. This makes DAP a vital component to ensure healthy plant growth, especially during the initial stages.

Phosphorus helps transfer energy to plants, contributing to robust root systems and improving overall crop yields. Given the critical role that DAP plays in agriculture, its availability during the Rabi season is paramount for farmers.

First Published: 24 Oct 2024 06:38 IST