Fertilizer Subsidy Burden Reaches Rs 59 Billion, Agriculture Ministry Struggles with Budget Management
The Ministry of Agriculture, Forestry and Environment has pledged to prevent chemical fertilizer shortages in the upcoming season, but is facing difficulties managing the Rs 59 billion subsidy. Secretary Dr. Rajendra Prasad Mishra stated that a new system is being sought to manage the subsidy burden and that improvements in the distribution system are necessary.
Kathmandu — The Ministry of Agriculture, Forestry and Environment has pledged to prevent chemical fertilizer shortages in the upcoming season, but is facing a major challenge in managing the Rs 59 billion subsidy. Ministry Secretary Dr. Rajendra Prasad Mishra said the current subsidy burden is difficult for the state to bear and that a new system is being sought for its management.
During a meeting of the Agriculture and Natural Resources Committee of the Federal Parliament on Thursday, Secretary Mishra informed that an action plan after Falgun has been advanced for smooth fertilizer supply. He stated that preparations are being made accordingly, as demand for fertilizer will be extremely high during the main season from Baisakh to Asar and Shrawan.
According to the ministry, under current market prices, a subsidy of up to Rs 120 per kg must be provided. This requires a total budget of around Rs 59 billion. Although coordination with the Ministry of Finance is ongoing, the government is struggling to raise such a large amount.
Similarly, he expressed serious concern over complaints that government-subsidized fertilizer does not reach actual farmers. Despite the government spending large sums to provide relief to farmers, actual farmers are complaining that they are not receiving fertilizer due to flaws in the distribution system. He claimed that despite budget constraints, the government is making maximum efforts for the benefit of farmers, and emphasized the need to make the distribution system transparent and well-managed.